1.Advance ticket sales totaling $6,000,000 cash would be recognized as follows:
A Debit Cash, credit Revenue Payable.
B Debit Unearned Revenue, credit Sales.
C Debit Sales, credit Unearned Revenue.
D Debit Unearned Revenue, credit Cash.
E Debit Cash, credit Unearned Revenue.
2.Unearned revenue is initially recognized with a:
A Debit to revenue payable.
B Credit to unearned revenue.
C Debit to unearned revenue.
D Debit to revenue.
E Credit to revenue.
3.The contract between the bond issuer and the bondholders, which identifies the rights and obligations of the parties, is called a(n):
A Mortgage
B Debenture
C Bond indenture
D Installment note
E Mortgage contract