the 40 000 balance due for the may 20×1 installments was expected to be collected in 614403
Power City’s year-end is June 30. Power levies property taxes in January of each year for the calendar year. One-half of the levy is due in May, and one-half is due in October. Property tax revenue is budgeted for the period in which payment is due. The following information pertains to Power’s property taxes for the period from July 1, 20X0, to June 30, 20X1:
|
Calendar Year |
||
|
20X0 |
20X1 |
|
|
Levy |
$2,000,000 |
$2,400,000 |
|
Collected in: |
||
|
May |
950,000 |
1,100,000 |
|
July |
50,000 |
60,000 |
|
October |
920,000 |
|
|
December |
80,000 |
|
The $40,000 balance due for the May 20X1 installments was expected to be collected in August 20X1. What amount should Power recognize for property tax revenue for the year ended
June 30, 20X1?
a. $2,160,000
b. $2,200,000
c. $2,360,000
d. $2,400,000