Question: Hi, please answer the following question and show your work. Thank you and hope you have a good weekend. Question 21 2.3 pts Gabby Co.

Hi, please answer the following question and show your work. Thank you and hope you have a good weekend.

Hi, please answer the following question and show
Question 21 2.3 pts Gabby Co. is an accrual method taxpayer. On 7/1/21 Gabby Co received $ 1,800,000 as advanced receipt of service revenue. This payment is for 12 future services. The services are performed over a 3- year period as follows: 2021 3 services 2022 4 services 2023 4 services 2024 1 services Using the deferral method, how much service revenue will Gabby Co report on its 2021 and 2022 federal income tax return? $ 225,000 in 2021 and $ 1,575,000 in 2022. $ 450,000 in 2021 and $ 600,000 in 2022. $ 450,000 in 2021 and $ 1,350,000 in 2022. $ 225,000 in 2021 and $ 600.000 in 2022. $ 300,000 in 2021 and $ 1,500,000 in 2022

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