The balance in the unearned fees account, before adjustment at the end of the year, is $112,000

The balance in the unearned fees account, before adjustment at the end of the year, is $112,000. Of these fees, $71,600 have been earned. In addition, $47,400 of fees have been earned but have not been billed. Journalize the adjusting entries (a) to adjust the unearned fees account and (b) to record the accrued fees.

Answer:


a. Unearned Fees 71,600  Fees Earned  71,600 Unearned fees earned during year.    b. Accounts Receivable 47,400  Fees Earned  47,400 Accrued fees earned.