Business, 12.07.2019 19:30 daniecott

Sutton co. sells cleaning service contracts for cash. the service contracts are for a one-year, two-year, or three-year period. cash receipts from contracts are credited to unearned service revenue. on december 31st, 2018, this account had a balance of $3,800,000 before year-end adjustment. service contract costs are charged as incurred to the service contract expense account, which had a balance of $900,000 on december 31st, 2018. service contracts still outstanding on december 31st, 2018, expire as follows: on the december 31st, 2018 balance sheet, the unearned service revenue will be reported as a.$2,800,000. b.$1,900,000. c.$2,900,000. d.$1,000,000.

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Sutton co. sells cleaning service contracts for cash. the service contracts are for a one-year, two-...