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Question - WFO Corporation has gross receipts according to the following schedule:
Year 1 $ 22.00 million
Year 2 $ 24.00 million
Year 3 $ 26.00 million
Year 4 $ 26.50 million
Year 5 $ 27.00 million
Year 6 $ 28.00 million
If WFO began business as a cash-method corporation in Year 1, in which year would it have first been required to use the accrual method?
A. Year 6
B. Year 4
C. Year 5
D. Year 3
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