Question

The balance in the unearned fees account, before adjustment at the end of the year, is $14,530. Journalize the adjusting entry required if the amount of unearned fees at the end of the year is $7,480. If an amount box does not require an entry, leave it blank. fill in the blank 2 fill in the blank 3 fill in the blank 5 fill in the blank 6

Answer 1

Answer and Explanation:

The adjusting journal entry is given below;

Unearned fee revenue $7,050 ($14,530 - $7,480)

To Fee revenue $7,050

(Being the fees revenue is recorded)

here the unearned fees revenue is debited as it decreased the liabilities and credited the fees revenue as it increased the revenue