the milwaukee brewers use an account called "unearned revenue." what does this account represent?
Added by Michael M.
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It represents cash the Brewers have received for goods or services they have not yet delivered or performed (e.g., season-ticket deposits, gift certificates, sponsorships paid in advance). The company owes the customer either a service or a refund. Show more…
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What is an unearned revenue?
Mercury Company sells tickets in advance for its weekly productions and records the proceeds as Unearned Revenue. At the end of each month, the company makes an adjusting entry to account for the tickets used during the month (ticket revenue.) On March 1, the Unearned Revenue account had a credit balance of $5,000. During March, Mercury sold 500 tickets at $40 each, and 450 tickets were used during the month. What is the balance in Unearned Revenue at the end of March?
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