Question

On January 1, Eastern College received $1,210,000 from its students for the spring semester that it recorded in Unearned Tuition and Fees. The term spans four months beginning on January 2 and the college spreads the revenue evenly over the months of the term. Assuming the college prepares adjustments monthly, what amount of tuition revenue should the college recognize on February 28?

Answer 1

Answer:

The $302,500 is the amount of tuition revenue should the college recognize on February 28

Explanation:

The calculation of amount of tuition revenue should the college recognize on February 28 is computed below:

= Total Amount Received ÷ Number of months

= $1,210,000 ÷ 4

= $302,500

Since the amount of tuition revenue is given for four months and we have to calculate for 1 month. That's why we take four months while calculating.

Thus,  $302,500 is the amount of tuition revenue should the college recognize on February 28