E10-10 Recording and reporting current liabilities [10–15 min]
TransWorld Publishing completed the following transactions during 2012:
Oct 1 Sold a six-month subscription, collecting cash of $330, plus sales tax of 9%.
Nov 15 Remitted (paid) the sales tax to the state of Tennessee.
Dec 31 Made the necessary adjustment at year-end to record the amount of subscription revenue earned during the year.
Requirement:
1. Journalize the transactions (explanations are not required)
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