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The Defiance College sells season tickets for four home football games at a price of $30. For the 2014 season, 5,000 season tickets were sold.
(a.) Write the journal entry or use the horizontal model to show the effect of the sale of the season tickets.
(b.) Write the journal entry or use the horizontal model to show the effect of hosting a home football game.
(c.) Where on the balance sheet would the account balance representing funds Received for games not yet played be classified? Assume that The Defiance College follows the same accounting and financial reporting procedures that are used in business.
Fixed assets are $600,000, sales are projected at $3 million, the EBIT/sales ratio is projected at 15 percent, the interest rate is 10 percent on all debt, the federal-plus-
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