Techno Technical Services is working on a six-month job for a client, starting on February 1. It will collect $24,000 from its customer when the job is finished but the revenue is earned evenly over the six months
On March 31, before adjusting entries are made, Techno's Accounts Receivable account had a debit balance of $3,000. After the March 31 monthly adjusting entry has been made, what will be the balance in Accounts Receivable?
A) Debit balance of $4,000
B) Credit balance of $20,000
C) Debit balance of $7,000
D) Debit balance of $24,000
C .Balance in Accounts Receivable before adjusting entry $3,000
Add Accounts Receivable of new job on March 31
$24,000 / 6 months 4,000
Ending balance in Accounts Receivable $7,000
You might also like to view...
Justin Thyme used to run one batch each of 500 As, 300 Bs and 100 Cs every month but now he runs a batch of 5 As, 3 Bs, and 1 C every half day with the use of:
A) single-digit setups. B) andon lights. C) mixed-model assembly. D) push method.
________ Web analytics refers to measurement and analysis of data relating to your company that takes place outside your Web site
Fill in the blanks with correct word