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If a company has advance ticket sales totaling 2,000,000 for the upcoming soccer season, the receipt of cash would be journalized as:
If a company has advance ticket sales totaling 2,000,000 for the upcoming soccer season, the receipt of cash would be journalized as:A: Debit cash, credit revenue
B: Debit sales, credit unearned revenue
C: Debit unearned revenue, credit sales
D: Debit unearned revenue cash
E: Debit Cash, credit Unearned Revenue
The receipt ofcashfrom advance ticket sales totaling 2,000,000 for the upcoming soccer season would be journalized as follows: E) Debit Cash, creditUnearnedRevenue.When a company receives cash from advance ticket sales, it creates a liability called unearned revenue. Unearned revenue represents the obligation to providegoodsorservicesin the future. In this case, the company has received cash forticketsthat will be used in the upcoming soccer season.To journalize this transaction, the cashreceivedwould be debited to the Cash account since the company is receiving cash. The corresponding credit entry would be made to the Unearned Revenue account to reflect the liabilitycreatedby the advance ticket sales.Option E) Debit Cash, credit Unearned Revenueaccuratelyrepresents the journal entry for thistransaction. Debiting Cash increases the cash balance, while crediting Unearned Revenue increases theliabilitybalance for the unearned revenue.To learn more aboutUnearnedRevenueClick Here:brainly.com/question/30637807#SPJ11...