1. On June 1 , Year 4 , R\&D Company, which sells Rock Star magazine, receives $45,000 toward the magazine subscription for the next 15 months. R\&D Company uses accrual-basis accounting. On December 31 , Year 4 , the accounting year-end for R\&D Company, how much revenue will it recognize from the magazine subscription on June 1 , Year 4 , at year-end? a. $45,000 b. $21,000 c. $18,000 d. $36,000 2. On April 30, Year 2, Wright Enterprise, which sells Business In-Depth Newspapers, receives $1,800 toward newspaper subscription for the next 18 months. Wright Enterprise is a small company and hence uses cash-basis accounting. Assume that December 31 is the accounting year-end for Wright Enterprise. On December 31 , Year 2, how much revenue will it recognize from the newspaper subscription on April 30, Year 2, at year-end? a. $800 b. $900 c. $1,200 d. $1,800