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Enoch,IncBegan Operations on July 1,2011

Question 8

Multiple Choice

Enoch,Inc.began operations on July 1,2011.On August 1,it received $12,000 in advance for services to be performed evenly over the next 12 months.How much of this revenue should the company report on its income statement for the MONTH ended August 31,2011?


A) $12,000
B) $1,000
C) $11,000
D) $5,000

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