In November and December 2021, Smith Co., a newly organized magazine publisher, received $150,000 for 1,000 three-year subscriptions at $50 per year, starting with the January 2022 issue. Smith included the entire $150,000 in its 2021 income tax return. What amount should Smith report in its 2021 income statement for subscriptions revenue?

Group of answer choices

$50,000

$8,333

$0

$150,000

Answer rating: 100% (QA)

As per the revenue recognition principle the revenue shall be recognize... View the full answer