Recognizing unearned revenue at year end

Transaction

On November 1 a customer paid $3,600.00 in advance for six months of maintenance service (November through April), and the company credited Unearned Revenue. Record the adjusting entry on December 31.

Assumptions: The company’s fiscal year ends on December 31, and it adjusts its accounts only at year end.

Accounts

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Debit

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Credit

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Debits $0.00Credits $0.00