Grills R Us Catering provided $1,000 of catering services and billed its client for the amount owed. Given the choices below, determine the general journal entry that Grills R Us Catering will make to record this transaction. Unearned Catering Revenue 1,000 Catering Revenue 1,000Catering Revenue 1,000 Accounts Receivable 1,000Accounts Receivable 1,000 Unearned Catering Revenue 1,000Accounts Receivable 1,000 Catering Revenue 1,000Cash 1,000 Catering Revenue 1,000

Question

Business

Orion Buckley

5 February, 19:24

Grills R Us Catering provided $1,000 of catering services and billed its client for the amount owed. Given the choices below, determine the general journal entry that Grills R Us Catering will make to record this transaction. Unearned Catering Revenue 1,000 Catering Revenue 1,000Catering Revenue 1,000 Accounts Receivable 1,000Accounts Receivable 1,000 Unearned Catering Revenue 1,000Accounts Receivable 1,000 Catering Revenue 1,000Cash 1,000 Catering Revenue 1,000

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Tabby · Answer 1

The correct journal entry for the following is as:

Accounts Receivable A/c ... Dr $1,000

Catering Revenue A/c ... Cr $1,000

Explanation:

The accounting journal entry for the following would be:

Accounts Receivable A/c ... Dr $1,000

Catering Revenue A/c ... Cr $1,000

As the catering service is provided by the company which worth $1,000, so the account of accounts receivable is debited as the money is owed to the company through the debtor and it is against the service, so the account of catering revenue is credited.