Unearned Revenue is classified as a(n)
a. revenue account.
b. expense account.
c. liability account.
d. contra revenue account.
e. asset account.
Question 2
Assume that the town of Beatrice earned the following during the year:
Charges for services in public works of 289,000
Public safety operating grants of 100,000
Property taxes of 1,950,000
Interest earned on restricted grants
of 5,750
Interest earned on unrestricted grants of 3,250
Public works capital grants of 310,000
Sales taxes of 425,000
Based on this information and assuming all revenues were earned, governmental activities general revenues for the year would be
a. 3,083,000
b. 704,750
c. 1,950,000
d. 2,378,250
e. 2,384,000
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