In December 2020, Quebecor Printing received magazine subscriptions for 2021 from customers, who paid $500 in cash. What would be the appropriate journal entry for this event in December 2020?
A) Debit Cash, $500 credit Subscription Revenue, $500.
B) Debit Cash, $500 credit Deferred Revenue, $500.
C) Debit Subscription Revenue, $500 credit Cash, $500.
D) No journal entry is necessary.
Answer: B
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