Unearned Revenue was $2,400 at the end of May and $3,000 at the end of June. Service Revenue was $17,100 for the month of June. How much cash was received for services provided during June?

Question

Quizplus · Accepted Answer

Unearned Revenue is money received from customers for services that have not yet been provided. Therefore, the increase in Unearned Revenue from May to June ($600) represents the amount of cash received in June for services that will be provided in the future.

Since Service Revenue for June was $17,100, the total amount of cash received for services provided during June would be:

$17,100 - $600 = $17,700

Therefore, the correct choice is C.

Unearned Revenue Was $2,400 at the End of May and $3,000