What is the tax base related to transaction at the end

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At year-end, $230,000 was received from a customer for goods that will be shipped next year. On the tax return, revenue received in advance is taxable when collected.

Question 1: What is the tax base related to this transaction at the end of the current year?

Option 1: $230,000

Option 2: $0

Option 3: $115,000

Reference no: EM132489878

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