Curated Clothing, Incorporated offered books of party dress rental coupons to its patrons at $50...
50.1K
Verified Solution
Link Copied!
Question
Accounting
Curated Clothing, Incorporated offered books of party dress rental coupons to its patrons at $50 per book. Each book contained a certain number of coupons for party dress rentals. During the month of December, 600 books were sold for $30,000, and this amount was credited to Unearned Rental Revenue. At December 31st 2022, it was determined that $20,000 worth of coupons had been used by customers to rent party dresses. The appropriate adjusting entry at December 31st would be:
- Debit Rental Revenue and credit Unearned Rental Revenue since the revenue is earned during the month of December.
2. Debit Unearned Rental Revenue and credit Rental Revenue for since the revenue is earned when paid.
3. Debit Unearned Rental Revenue and credit Rental Revenue since the revenue is earned during the month of December.
4. Debit Rental Revenue and credit Unearned Rental Revenue since the revenue is earned when paid.
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.