During 2015, Maverick Law Firm Had the Following Transactions with It

question 62

Multiple Choice

During 2015, Maverick Law Firm had the following transactions with it clients (customers) :
-On February 1, 2015, the company received cash of $5,000 from clients in payment of their account balances as of December 31, 2014.
-On November 1, 2015, the company received $2,000 cash as payments in advance for law services to be performed in 2016.
-The company received a total of $13,000 in cash for law services that were performed during 2015.
-The company sent bills totaling $4,000 to clients for services performed during 2015; this amount was unpaid as December 31, 2015.
-Use the information above to answer the following question.What is the amount of Law Services Revenue that will be reported on the income statement for the year 2015?

• A) $19,000.
• B) $22,000.
• C) $24,000.
• D) $17,000.

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Definitions:

Marginal Means

The mean scores for each level of a factor averaged over the levels of other factors in a multifactorial experiment, often used in the analysis of variance.

Significant Main Effect

An outcome in statistical analysis indicating that the independent variable has a statistically meaningful impact on the dependent variable.

Variable

Property or characteristic of an object, event, or person that can take on different values.

Marginal Means

Means for each level of an independent variable, averaging over the levels of any other independent variables.