On august 31, 2019, montana corporation signed a 4-year contract to provide services for minefield company at $30,000 per year. minefield will pay for each year of services on the first day of each service year, starting with september 1, 2019. using the accrual basis of accounting, when should montana recognize revenue?

Performance bicycle company makes steel and titanium handle bars for bicycles. it requires approximately 1 hour of labor to make one handle bar of either type. during the most recent accounting period, barr company made 7,700 steel bars and 2,300 titanium bars. setup costs amounted to $35,000. one batch of each type of bar was run each month. if a single company-wide overhead rate based on direct labor hours is used to allocate overhead costs to the two products, the amount of setup cost assigned to the steel bars will be: