Search This Blog

Tuesday, June 23, 2015

Consider the following transactions of Parolini Company for 2008

Consider the following transactions of Parolini Company for 2008.

1. Sold a 6-month insurance policy to Orosco Corporation for $9,000 on March
2. Leased office space to Easley Supplies for a 1-year period beginning September 1.The rent of $30,000 was paid in advance.
3. Received a deposit of $10,000 for an office space in September from Alpha Corporation. The space will not be available until October 2008.
4. Sold a 12 month insurance policy to Great Idea Corporation for $12,000 on June 1, 2008.

Instructions
For each item above, indicate the amount of revenue Parolini should recognize in calendar year 2008. Explain.

Click here for the solution: Consider the following transactions of Parolini Company for 2008