ANSWERS TO QUESTIONS
The total selling price of the season tickets is $20,000,000 (10,000 X $2,000). Of this amount, $9,000,000 has been earned by 12/31/07 (18/40 X $20,000,000). The remaining $11,000,000 should be reported as unearned revenue, a current liability in the 12/31/07 balance sheet (22/40 X $20,000,000). ................
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