6. NAPAPALUNOK AKO AS OFTHE MOMENT INC. sells 3-year service contracts for airconditioning units for P1,500each. Sales of servicecontracts are made evenlythroughout each year. Thecompany estimates that 15%of repairs are done in the firstyear from the date of sale,35% in the second year, and50% in the third year. Servicecontracts sold are as follows.How much is the unearnedrevenue from servicecontracts as of December 31,2019? *201820192020Number of service contracts sold1,4001,8201,650a. P 1,417,500b. P 2,525,250c. P 3,370,500O d. P 3,942,750

The Unearned revenue is the advance collection from customers and services would be provided in…

35% in the second year, and 50% in the third year. Service contracts sold are as follows. How much is the unearned revenue from service contracts as of December 31, 2019? * 2018 2019 2020 Number of service contracts sold 1,400 1,820 1,650

35% in the second year, and 50% in the third year. Service contracts sold are as follows. How much is the unearned revenue from service contracts as of December 31, 2019? * 2018 2019 2020 Number of service contracts sold 1,400 1,820 1,650

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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