filming its formal dance and actually pays cash of $4,100 on February 28 at the dance.E3-18 Comparing cash and accrual basis accounting and applying the revenueMomentous Occasions is a photography business that shoots videos at college parties.bjectives 1, 2recognition principleMomentous Occasions is a photography business that shoots videos at college DoThe freshman class pays $1,000 in advance on March 3 to guarantee services for iparty to be held on April 2. The sophomore class promises a minimum of $2 800filming its formal dance and actually pays cash of $4,100 on February 28 at the danAnswer the following questions about the correct way to account for revenue underthe accrual basis:a. Considering the $1,000 paid by the freshman class, on what date was revenuerecognized? Did the recognition occur on the same date cash was received?b. Considering the $4,100 paid by the sophomore class, on what date was revenuerecognized? Did the recognition occur on the same date cash was received?es 1, 2F3. 10 C

According to the recognition concept of accounting, revenues and expenses are recognized when earned…

E3-18 Comparing cash and accrual basis accounting and applying the revenue recognition principle Momentous Occasions is a photography business that shoots videos at college parties. The freshman class pays $1,000 in advance on March 3 to guarantee services for i party to be held on April 2. The sophomore class promises a minimum of $2,800 for filming its formal dance and actually pays cash of $4,100 on February 28 at the dane Answer the following questions about the correct way to account for revenue under the accrual basis: a. Considering the $1,000 paid by the freshman class, on what date was revenue recognized? Did the recognition occur on the same date cash was received? b. Considering the $4,100 paid by the sophomore class, on what date was revenue recognized? Did the recognition occur on the same date cash was received?

E3-18 Comparing cash and accrual basis accounting and applying the revenue recognition principle Momentous Occasions is a photography business that shoots videos at college parties. The freshman class pays $1,000 in advance on March 3 to guarantee services for i party to be held on April 2. The sophomore class promises a minimum of $2,800 for filming its formal dance and actually pays cash of $4,100 on February 28 at the dane Answer the following questions about the correct way to account for revenue under the accrual basis: a. Considering the $1,000 paid by the freshman class, on what date was revenue recognized? Did the recognition occur on the same date cash was received? b. Considering the $4,100 paid by the sophomore class, on what date was revenue recognized? Did the recognition occur on the same date cash was received?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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