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GreenUp, a calendar year, accrual basis taxpayer, provides landscaping installation and maintenance services to its customers. In August 2021, GreenUp contracted with a university to
GreenUp, a calendar year, accrual basis taxpayer, provides landscaping installation and maintenance services to its customers. In August 2021, GreenUp contracted with a university to renovate its lawns and gardens. GreenUp agreed to complete the entire renovation by May 31, 2023, and the university prepaid the entire $100,000 fee. GreenUp completed 20 percent of the work in 2021, 65 percent in 2022, and 15 percent in 2023. Required: a. How much revenue should GreenUp report on its financial statements for 2021, 2022, and 2023? b. How much taxable income must GreenUp recognize in 2021, 2022, and 2023? Complete this question by entering your answers in the tabs below. Required A Required B How much revenue should GreenUp report on its financial statements for 2021, 2022, and 2023? Year Revenue 2021 2022 2023 How much taxable income must GreenUp recognize in 2021, 2022, and 2023? Year Taxable income 2021 2022 2023
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