On July 1, 2021, Colby Inc. signed a one-year contract to provide web design services on an as-needed basis to Liam Brothers & Associates, with the contract to start right away. Liam Brothers agreed to pay Colby $7,440 for the one-year period. Colby is confident that Liam Brothers will pay that amount, but payment is not due until 2022. In 2021, Colby should recognize revenue in the amount of

$2,720

$3,720

$7,440

$0