Trinity College sold season tickets for the 2019 football season for $400,000. A total of 8 games will be played during September, October and November. In September, two games were played. In October, three games were played. What is the balance in Unearned Ticket Revenue as of October 31 (after adjusting entries has been made) ?

Trinity College sold 8 Games of ticket in $400,000

Till October 31 the game sorted out = 5 for example (2+3)

Measure of unmerited income on October 31

Unearned ticket revenue = (Amount received in advance * remaining month) / total month

Unearned ticket revenue = ($400,000 * 3) / 8

Unearned ticket revenue = $150,000

Adjusting Journal entry on October 31:

Debit: Unearned revenue = $250,000

Credit: Revenue = $250,000

(To record transfer of unearned revenue, to revenue account)