Ask Question
20 February, 15:11

Childers Service Company provides services to customers totaling $3,000, for which it billed the customers. How would the transaction be recorded? A. Debit Accounts Receivable $3,000, credit Cash $3,000. B. Debit Service Revenue $3,000, credit Accounts Receivable $3,000. C. Debit Cash $3,000, credit Service Revenue $3,000. D. Debit Accounts Receivable $3,000, credit Service Revenue $3,000.

+2
Answers (1)
  1. 20 February, 16:34
    0
    D. Debit Accounts Receivable $3,000, credit Service Revenue $3,000

    Explanation:

    The Children Service Company has provided the services to the customer and has billed the Customer, so the revenue shall be recognised in its accounts and accordingly the following journal entry shall be made in its accounts.

    Debt Credit

    Accounts Receivable $3,000

    Service Revenue $3,000

    So the answer is D. Debit Accounts Receivable $3,000, credit Service Revenue $3,000
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Childers Service Company provides services to customers totaling $3,000, for which it billed the customers. How would the transaction be ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers