What would be the deferred service revenue amount

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Question - Tupper Ltd offers cleaning services to retail customers, priced monthly at £200 a month. Warez Ltd enters into a contract to use Tupper's services for three months. Assuming that the associated costs are £125, £110 and £110 respectively for the three months and that Tupper allocates revenue based on costs incurred, what would be the deferred service revenue amount at the end of the first month?

Reference no: EM132979396

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