mary signed up and paid $1,200 for a 6 - month ceramics course on june 1st with choplet ceramics. as of…

mary signed up and paid $1,200 for a 6 - month ceramics course on june 1st with choplet ceramics. as of august 1st, choplets accounting records would indicate: multiple choice $800 of revenue, $400 of accounts receivable $400 of revenue, $800 of accounts receivable $400 of revenue, $800 of deferred revenue $1,200 of revenue, $1,200 of cash

mary signed up and paid $1,200 for a 6 - month ceramics course on june 1st with choplet ceramics. as of august 1st, choplets accounting records would indicate: multiple choice $800 of revenue, $400 of accounts receivable $400 of revenue, $800 of accounts receivable $400 of revenue, $800 of deferred revenue $1,200 of revenue, $1,200 of cash

Answer

Explanation:

Step1: Calculate monthly revenue

The course cost is $1200 for 6 - months. So the monthly revenue is $\frac{1200}{6}=200$.

Step2: Determine revenue from June 1st - August 1st

From June 1st to August 1st is 2 months. So the revenue is $200\times2 = 400$.

Step3: Calculate deferred revenue

The total payment was $1200. After recognizing $400 in revenue, the deferred revenue is $1200 - 400=800$.

Answer:

$400 of revenue, $800 of deferred revenue