Consider the following events for Betterment Incorporated:
January 1 Betterment purchases gasoline for $200 on account.
January 7 Betterment advertises lawn mowing services for $100 per lawn.
January 9 Betterment signs up 8 customers who pay a total of $800 cash.
January 12 Betterment mows the lawns of the 8 customers and all gasoline purchased on January 1 is used.
January 13 Betterment pays for the gasoline purchased on January 1.
Under accrual-basis accounting, what is the appropriate day to record the revenues related to lawn services?
A) January 1.
B) January 7.
C) January 9.
D) January 12.
Answer: D
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