The Bridge in Bridgehampton, N.Y., charged a whopping $750,000 to join, according to a 2007 Wall Street Journal article. Another Hamptons club, Sebonack Golf Club, billed new members for $650,000 when it opened in 2006, Bloomberg reported.
Hence, the revenue cycle actually consists of two major subsystems (assuming sales on credit basis): 1  the sales order processing system and. 2  the account receivable system.
1. Record the deferred revenue. Recording deferred revenue applies to the companyâs balance sheet. The company receives cash (an asset account on the balance sheet) and records deferred revenue (a liability account on the balance sheet). 1  In the example from Part 1, the company receives a $120 advance payment relating to a twelve-month magazine subscription.