(LO3) In late November, Year 4, Javi received (( $ ) 4,050) in advance from a customer...
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(LO3) In late November, Year 4, Javi received \(\( \$ \) 4,050\) in advance from a customer for monthly painting lessons that were to begin in December, Year 4 and run through May, Year 6.
When must Javi recognize income from the 18 months of advance payment of services:
a. under the cash method of accounting?
b. under the accrual method, assuming he defers the income for financial reporting purposes until it is earned?
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Related Book For
Fundamentals Of Taxation For Individuals A Practical Approach 2024
ISBN: 9781119744191
1st Edition
Authors: Gregory A Carnes, Suzanne Youngberg
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