Business, 29.11.2019 01:31, jexvilla

Brown thumb landscaping is a calendar-year, accrual-method taxpayer. in september, brown thumb negotiated a $14,000 contract for services it would provide to the city in november of the current year. the contract specifies that brown thumb will receive $4,000 in october as a down payment for these services and it will receive the remaining $10,000 in january of next year.

a. how much income from this $14,000 contract will brown thumb recognize in the current year?

b. how much income from this $14,000 contract will brown thumb recognize in the current year if it uses the cash method of accounting?

c. suppose that the total amount to be paid under the contract with the city is estimated at $14,000 but may be adjusted to $12,000 next year during the review of the city budget. what amount from the contract, if any, should brown thumb recognize as income this year?

Answers: 3

Show answers

Other questions on the subject: Business

Business, 22.06.2019 11:50, adrianmelchor146

The following are the current month's balances for abc financial services, inc. before preparing the trial balance. accounts payable $ 10,000 revenue 6,000 cash 3,000 expenses 17,500 furniture 10,000 accounts receivable 14,000 common stock ? notes payable 6,500 what amount should be shown for common stock on the trial balance? a. $48.000b. $12.500c. $27.000d. $28.000

Answers: 3

continue

Business, 22.06.2019 20:50, JasJackson

Barbara flynn is in charge of maintaining hospital supplies at general hospital. during the past year, the mean lead time demand for bandage bx-5 was 65 (and was normally distributed). furthermore, the standard deviation for bx-5 was 6. ms. flynn would like to maintain a 90% service level. refer to the standard normal table for z-values. a) what safety stock level do you recommend for bx-5? safety stock=)what is the appropriate reorder point? reorder point=

Answers: 1

continue

Business, 23.06.2019 15:50, MichaelG07

Acorn farm, a coal mine, and a fishing company are all part of the industry. a. manufacturing b. service c. extractive d. retailing

Answers: 1

continue

Business, 23.06.2019 23:00, aide1234564

What is marginal costs and benefits might a tour boat operator consider when deciding whether to purchase a new boat?

Answers: 2

continue

Do you know the correct answer?

Brown thumb landscaping is a calendar-year, accrual-method taxpayer. in september, brown thumb negot...