Asked by:

jenn_123
Rating (32): B+
Questions Asked: 18
Tutorials Posted: 85, earned $788.36

 

$1.00 Acc 225

• From Mathematics: General-Mathematics
• Closed, but you can still post tutorials
• Due on Oct. 21, 2009
• Asked on Oct 18, 2009 at 9:00:33PM

Q:

Your vending machine unearned revenue calculations are very good and are the proper way to determine the amount to book for the unearned revenue and accrued revenue accruals.  By booking accruals the Ritz Manor has created an accurate picture of the services provided and revenue earned from the services during the period.  But, what happens if, like you mentioned, the Ritz Manor calculates the Vendalite accrued revenue as 30% of the $720 (which was an estimate) collected each week, but then Vendalite only collects $500 one of the weeks?  If you were the accountant at Ritz Manor, how would you adjust for this? 
 

 

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