On 1 January 20X1, the publisher Horizon Voile collects an annual subscription of 9,600 entitling the subscriber to 12 units monthly issues of its magazine; the receipt was recorded as a contract liability. At the end of May 20X1, 5 units issues have been delivered to the subscriber; all issues have the same value (teaching assumption). Record the entry recognising the revenue for the issues delivered.
- Subscription price collected
- 9,600
- Issues covered by the subscription
- 12
- Issues delivered by the end of May
- 5