If a Company Has Advance Subscription Sales Totaling $45,000 for the Upcoming

question 34

Multiple Choice

If a company has advance subscription sales totaling $45,000 for the upcoming year when four quarterly journals will mailed to customers,the receipt of cash would be journalized as:

• A)Debit Cash $45,000;credit Unearned Revenue $45,000.
• B)Debit Unearned Revenue $45,000;credit Sales $45,000.
• C)Debit Cash $45,000,credit Sales $45,000.
• D)Debit Sales $45,000,credit Unearned Revenue $45,000.
• E)Debit Prepaid Subscriptions $45,000,credit Sales $45,000.