On January 1,Eastern College Received $1,200,000 from Its Students for the Spring

question 49

Multiple Choice

On January 1,Eastern College received $1,200,000 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.What amount of tuition revenue should the college recognize on February 28?

• A)$300,000.
• B)$600,000.
• C)$800,000.
• D)$900,000.
• E)$1,200,000.

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Definitions:

Framing

The way an issue is posed; how an issue is framed can significantly affect decisions and judgments.

Framing

The way information is presented or an issue is structured, which can influence perception and decision-making.

Belief Perseverance

The psychological phenomena wherein individuals maintain their beliefs despite facing contradicting evidence or facts.

Representativeness Heuristic

The representativeness heuristic is a mental shortcut that involves judging the likelihood of an event by comparing it to an existing prototype in our minds.