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Derby Company Sells Season Passes to Its Entertainment Center

Question 90

Multiple Choice

Derby Company sells season passes to its entertainment center. The passes sell for $85 each and are good for the year. On January 1, Derby sells 3,000 passes and received cash. The amount of revenue to be recognized on January 1 is ________.


A) $0
B) $127,500
C) $255,000
D) $21,250

Correct Answer:

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