Ente r your a nsw e r in billions to tw o de cim a l

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Unformatted text preview: c os t of the property and equipment reported in Mic ros oft Corporation's balanc e s heet. (Ente r your a nsw e r in billions to tw o de cim a l pla ce s. Om it the "$" sign in your re sponse .) His toric al c os t $ 8.37 billion b. Four ty pes of adjus ting entries are illus trated in Ex hibit 4-1. Ex plain whic h ty pe of adjus ting entry res ulted in the c ompany 's ac c rued c ompens ation figure. Ty pe III c. Identify the bas is by whic h Mic ros oft Corporation rec ords the revenue earned. Realiz ation bas is Explanation: a: $8.37 billion ($3.35 book value + $5.02 ac c umulated deprec iation) b: Ac c rued c ompens ation is a liability aris ing from the ac c rual of unpaid s alaries and wages ex pens e http://ezto.mhecloud.mcg r aw- hill.com/hm_accounting .tpx?todo= pr intview 11/16 1/23/2014 11. Assig nment Pr int View aw ar d: 1 out of 1.00 point Lis ted below are s even c orporations that rec eive c as h from c us tomers prior to earning revenue: Americ a W es t Corporation (airline) The New York Times Company (news paper) Carnival Corporation (c ruis e c ompany ) Devry , Inc . (for-profit tec hnic al c ollege) Clear Channel Communic ations , Inc . (radio broadc as ting) AFLAC Inc orporated (health ins uranc e) Bally Total Fitnes s Corporation (fitnes s c lub) Matc h eac h c orporation with the ac c ount title it us es to report unearned revenue. Corporation Americ a W es t Corporation The New York Times Company Carnival Corporation Devry , Inc . Clear Channel Communic ations , Inc . AFLAC Inc orporated Bally Total Fitnes s Corporation Ac c ount title Air tra ffic lia bility Une x pire d subscriptions Custom e r de posits De fe rre d tuition re ve nue De fe rre d a dve rtising incom e Une a rne d pre m ium s De fe rre d m e m be r due s Apply ing the realiz ation princ iple, identify as to when eac h of thes e c orporations c onverts unearned revenue to earned revenue. Corporation Americ a W es t Corporation The New York Times Company Carnival Corporation Devry , Inc . Clear Channel Communic ations , Inc . AFLAC Inc orporated Bally Total Fitnes s Corporation As pa sse nge rs com ple te the ir flights. As ne w spa pe rs a re de live re d. As pa sse nge rs com ple te the ir cruise s. As stude nts com ple te the ir course s. As a dve rtise m e nts a re a ire d. As policie s e x pire . As m e m be rs use the fa cilitie s. W orksheet Learning Objective: 04-04 Prepare adjus ting entries to convert liabilities to revenue. Learning Objective: 04-01 Explain the purpos e of adjus ting entries . Learning Objective: 04-07 Explain how the principles of realization and m atching relate to adjus ting entries . Lis ted below are s even c orporations that rec eive c as h from c us tomers prior to earning revenue: Americ a W es t Corporation (airline) The New York Times Company (news paper) Carnival Corporation (c ruis e c ompany ) Devry , Inc . (for-profit tec hnic al c ollege) Clear Channel Communic ations , Inc . (radio broadc as ting) AFLAC Inc orporated (health ins uranc e) Bally Total Fitnes s Corporation (fitnes s c lub) Matc...
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This note was uploaded on 01/23/2014 for the course ACC 111 taught by Professor Angela during the Fall '08 term at Delaware County CC.

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