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Theresa Weber
Geography
26 August, 02:45
Record service revenue of 33000 sold on account
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Sam Johnston
26 August, 02:51
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Service revenues can arise from rendering services for cash or on account (on credit) to be collected at a later date. The entry for services rendered on account includes a debit to Accounts Receivable instead of Cash.
For example, a $1,500 payment on an invoice would post to the ledger as a $1,500 credit to "Accounts Receivable" and a $1,500 debit to "Cash."
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