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Financial Accounting Midterm - Part 1 of 3!
SAMPLE
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3. Accrual Accounting Concepts / Adjusting Entries: Unearned Revenue / Problem 17
Problem 17

A company received \$3,000 for a 30-hour service contract. By the end of the month, 18 hours of service were provided. How much revenue should be recognized, and what is the adjusting journal entry?