a.?For the year end June 30, 2010, recognize 21/49 of summer school tuition, because that portion of the summer session occurs within the first fiscal year.  Summer session expenses will be accrued or deferred (i.e., recognized as incurred), so an appropriate matching of revenue and expense will occur in each fiscal year.

Amount of revenue for the year ended June 30, 2010 = (21/49 * $112,000) = $48,000