Asic learning provides $6,000 in services to customer thompson on account. the revenue is recorded (ignore cost of goods sold) as follows:

Question

Business

Maeve Odonnell

20 October, 10:48

Asic learning provides $6,000 in services to customer thompson on account. the revenue is recorded (ignore cost of goods sold) as follows:

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Answers (1)

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Kristin Barron · Answer 1

The answer is:

Dr Accounts Receivable account 6,000

Cr Sales Revenue account 6,000

Explanation:

Since Accounts Receivable is an asset, when it increases, it should be debited. When assets decrease, they are credited.

Since Revenue increases the company's equity, it should be credited. Since expenses reduce reduce profit, they are credited.