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  3. unearned revenue aylmer has some customers that pa

Unearned Revenue Aylmer has some customers that pay for services in advance of work started....

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Accounting

  1. Unearned Revenue

Aylmer has some customers that pay for services in advance of work started. At December 31, Y6, the accountant reviewed unearned revenue to see how much revenue had been earned.

In the Excel spreadsheet, see the tab labelled Unearned Revenue for details relating to unearned revenue and to make any calculations for an adjusting journal entry.

The following items relate to Unearned Sales Revenue:
Date
Received Customer Name Amount Details/Comments
11/1/Y6 Plaid Corp $ 71,400 at December 31, $58,900 worth of work was completed
12/5/Y6 Joseph Company 39,905 at December 31, 33% of the work was completed
12/15/Y6 Houston Corp 93,500 at December 31, 3/4 of the work was completed
12/30/Y6 TC Jester 201,300 work is to start on January 3, Y7
$ 406,105
Based on the above information, calculate the amount the should be recorded as earned income for Y6

Please do any needed calculations and create the journal entries for unearned revenue.

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