Real Losers, a Diet Magazine, Collected $360 000 in Subscription

question 109

Multiple Choice

Real Losers, a diet magazine, collected $360 000 in subscription revenue in May. Each subscriber will receive an issue of the magazine for each of the next 12 months, beginning with the June issue. The company uses the accrual method of accounting. What is the balance in the Unearned revenue account at the end of December?

• A)$0
• B)$330 000
• C)$360 000
• D)$150 000

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Definitions:

"In-law"

A relative by marriage, typically referring to the spouse's parents, siblings, or their spouses.

Reserved and Quiet

Characteristics of individuals who are naturally inclined to be introspective, preferring to listen rather than speak, and often cautious in social situations.

Distrust

A lack of trust or confidence in someone or something, often stemming from past experiences or perceptions of unreliability.

Respect

An attitude of admiration or deference towards someone or something, often shown by treating them with kindness, honoring their rights, and valuing their contributions.