Get Fit Now gains a client who prepays $540 for a package of six physical training sessions.

Question:

Get Fit Now gains a client who prepays $540 for a package of six physical training sessions. Get Fit Now collects the $540 in advance and will provide the training later.

After four training sessions, what should Get Fit Now report on its income statement assuming it uses the accrual basis accounting method?

a. Service revenue of $360

b. Service revenue of $540

c. Unearned service revenue of $360

d. Cash of $180

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Horngrens Financial And Managerial Accounting The Managerial Chapters

ISBN: 9781292412337

7th Global Edition

Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura

See More Books

Question Posted: Feb 02, 2024 05:00 AM

See More Questions

Hercules Workout World gains a client who prepays $570 for a package of six physical training sessions. Hercules Workout World collects the $570 in advance and will provide the training later. After....
Hercules Workout World gains a client who prepays $570 for a package of six physical training sessions. Hercules Workout World collects the $570 in advance and will provide the training later. After....
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
Olmsted Co. has small computer chips assembled in Poland and transports the final assembled products to the parent, where they are sold by the parent in the U.S. The assembled products are invoiced...
Consider gas flow through a converging nozzle with specified inlet conditions. We know that the highest velocity the fluid can have at the nozzle exit is the sonic velocity, at which point the mass...
How is planning changing in todays organizations? Do you think planning becomes more important or less important in a world where everything is changing quickly and crises have become a regular part...
What are the two major activities of the Consumer Credit Counseling Service?
This problem continues the Draper Consulting, Inc., situation from Problem 13-37 of Chapter 13. Refer to the comparative balance sheet for Draper Consulting. Requirement 1. Prepare the statement of...
inter Office Supply's March 31, 2018, balance sheet follows: Click the icon to view the balance sheet) The budget committee of Printer Office Supply has assembled the following date Click the icon to...
The revenue recognition principle requires a. time to be divided into annual periods to measure revenue properly. b. revenue to be recorded only after the business has satisfied its performance...
Which of the following is true of accrual basis accounting and cash basis accounting? a. Accrual accounting records revenue only when it is earned. b. Accrual accounting is not allowed under GAAP. c....
Describe the connections between financial management, strategic management, and entrepreneurship. Why does it make sense to consider these disciplines jointly rather than separately?
A company determines that monthly sales S(t), in thousands of dollars, after t months of marketing a product is given by S(t) = 23-551 + 230t+ 160. a) Find S'(1), S'(2), and S'(4). b) Find S''(1),...
Dan is a 16 year-old who decided to skip his adolescent development class. If Dan was 19 years-old, this would be his choice, but because of his age, he has broken the law. What type of offence did...
You need to remove a bolt from a metal door. The maximum torque the bolt can withstand before starting to rotate is 7 = 70 N-m. You apply a wrench of m = 0.5 kg and 1 = 0.3 m long. You push down on...
Lesson 10.1: Emotional Intelligence Emotional Intelligence is a type of social intelligence that affords the individual the ability to monitor his own and others' emotions, to discriminate among...
Harriet??s annuity has a total cash value of $2000, and she has paid a total of $1,500 into it. Under a Section 1035 exchange, Harriet rolls the entire value of the annuity into a different annuity....
In an ideal gas mixture the partial pressures of the component gases are as follows: CO2, 20 kPa; O2, 30 kPa; and N2, 50 kPa. Determine the mole fractions and mass fractions of each component....
Which, if any, of the dichloroethene molecules drawn in Data Table II (3.) (4.) and (5.) are geometric isomers? A. B. C. D. cis-1,2-dichloroethene and trans-1,2-dichloroethene...
Discuss how slower economic growth or no economic growth would affect your college communityin particular, its marketing institutions.
Explain in your own words how economists look at markets and arrive at the law of diminishing demand.
Explain what a demand curve is and why it is usually down-sloping. Then give an example of a product for which the demand curve might not be downsloping over some possible price ranges. Explain the...
1,600 Balance Sheet The following is a list (in random order) of KIP International Products Company's December 31, 2019, balance sheet accounts: Additional Paid-In Capital on Preferred Stock $2,000...
Question 3 4 pts 9 x + 3 x 9 if x 0 Find a) lim f(x), b) lim, f(x), C), lim , f(x) if they exist. 3 Edit View Insert Format Tools Table : 12pt M Paragraph B IV A2 Tv
Mr. Geoffrey Guo had a variety of transactions during the 2019 year. Determine the total taxable capital gains included in Mr. Guo's division B income. The transactions included: 1. On January 1,...

Get Fit Now gains a client who prepays $540 for a package of six physical training sessions.

Question:

Step by Step Answer:

The correct answer is a Service revenue of 360 Lets understand why Accrual basis ...View the full answer

Horngrens Financial And Managerial Accounting The Managerial Chapters

Students also viewed these Business questions