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Question: Culver Store sells major household appliance service contracts for cash. The service contracts are for a one-year, two-year, or three-year period. Cash receipts from contracts are credited to Unearned Revenue. This account had a balance of $596000 at December 31, 2022 before year-end adjustment. Service contract costs are charged as incurred to the service contract expense account, which had a balance of $150000 at December 31, 2022. Outstanding service contracts at December 31, 2022 expire as follows: During 2023 During 2024 During 2025 $138500 $209500 $93500 What amount should be reported as Unearned Revenue in Culver's December 31, 2022 statement of financial position?
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Submit your estimate of the inventory amounts immediately preceding the fire
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