Madson Company Typically Sells Subscriptions on an Annual Basis, and Publishes

question 107

Multiple Choice

Madson Company typically sells subscriptions on an annual basis, and publishes six times a year. The magazine sells 75,000 subscriptions in January at $10 each. What entry is made in January to record the sale of the subscriptions?

• A) Subscriptions Receivable 750,000 Subscription Revenue 750,000
• B) Cash 750,000 Unearned Subscription Revenue 750,000
• C) Subscriptions Receivable 125,000 Unearned Subscription Revenue 125,000
• D) Prepaid Subscriptions 750,000 Cash 750,000

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Definitions:

Limestone

A sedimentary rock primarily composed of calcium carbonate (CaCO3), often formed from marine organisms' shells.

Investigation Area

A specific location or region that is being systematically studied or examined for a particular purpose.

Coal

A combustible black or brownish-black sedimentary rock formed from ancient plant material, rich in carbon, used as a fuel.

Oil Seeps

Natural leakages of crude oil from the ground due to geological formations breaking the surface.