On December 1, year 1, Peck Advertising (a calendar-year, accrual-basis taxpayer) receives a $24,000
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On December 1, year 1, Peck Advertising (a calendar-year, accrual-basis taxpayer) receives a $24,000 retainer fee for a two-year service contract.a. How much income should Peck report in year 1 for tax and financial accounting?b. How much income should Peck report in year 2 for tax and financial accounting?c. How much income should Peck report in year 3 for tax and financial accounting?
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