The city of ruth has been awarded a $1,000,000 federal reimbursement grant to improvebike trails. the city has incurred $418,000 of qualifying expenditures during the current year, for which the federal government has reimbursed the city $180,000. how much should the city of ruth recognize as revenue for the current year? a. $1,000,000.b. $598,000.c. $418,000.d. $180,000.

The answer is: $238,000

Explanation:

The City of Ruth should recognize as revenue the difference between their incurred qualifying expenditures in improving bike trails and the federal government reimbursement.

Revenue = $418,000 - $180,000 = $238,000 due from the federal government.

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