Question $1$

Walk Like You, Corp. has a monthly accounting period and adjusting entries are made at the

end of each month. During December $2019,$ Walk Like You, Corp. provided services worth

$$56,000,$ of which $$8,000$ was collected in cash in December; the remaining amount will be

collected in January $2020.$ Also in December $2019,$ Walk Like You collected $$17,000$ in cash

in advance from customers for services to be provided in January $2020.$ Under GAAP, what

amount should the December $2019$ income statement report for service revenue?

$$73,000.$

$$56,000$

$$25,000$

$$65,000$