[vikingleif]

Need to find answer for unearned management fees expense!!

[vikingleif]

Here is the question-

The unearned management fees were received and recorded on October 1, 1984. The advance payment covered six months management of an apartment building.

[Addi38]

Unearned Income is a Liability representing Income received but not yet earned. This applies to advanced payments received.
To record income from these is to debit the liability account (780)and credit Income (Mgmt Fee)(780)

[vikingleif]

Thank you Addi38!