The Unearned Consulting Revenue account has a balance of$261,220 as of December 31, 2015....

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Accounting

The Unearned Consulting Revenue account has a balance of$261,220 as of December 31, 2015. On May 1,2015 a client paid CMC $153,000 cash in advancefor a 12-month consulting services contract. CMC will earn revenueevenly over this 12-month period. This was the onlyprepayment received from clients during the entire 2015 fiscal yearand recorded with a credit to Unearned Revenue. Of thebeginningbalance in Unearned Revenue(i.e. at Jan 1 2015), 65% of the work has now been completed byyear end.
What is the Adjusting Journal Entry for this? the 65% is somehowconfusing me.

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The question says Ending unadjusted balance of unearned revenue account is 261220 We have to find out the beginning balance first to make the adjusting entry Since only amount of unearned revenue received during See Answer

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In: AccountingThe Unearned Consulting Revenue account has a balance of$261,220 as of December 31, 2015. On...The Unearned Consulting Revenue account has a balance of$261,220 as of December 31, 2015. On May 1,2015 a client paid CMC $153,000 cash in advancefor a 12-month consulting services contract. CMC will earn revenueevenly over this 12-month period. This was the onlyprepayment received from clients during the entire 2015 fiscal yearand recorded with a credit to Unearned Revenue. Of thebeginningbalance in Unearned Revenue(i.e. at Jan 1 2015), 65% of the work has now been completed byyear end.What is the Adjusting Journal Entry for this? the 65% is somehowconfusing me.