When a company receives cash in advance for services it has yet to provide, what is the appropriate journal entry? A) Debit: Cash; Credit: Service Revenue B) Debit: Unearned Revenue; Credit: Service Revenue C) Debit: Accounts Receivable; Credit: Cash D) Debit: Service Revenue; Credit: Cash

When a company receives cash in advance for services it has yet to provide, what is the appropriate journal entry? A) Debit: Cash; Credit: Service Revenue B) Debit: Unearned Revenue; Credit: Service Revenue C) Debit: Accounts Receivable; Credit: Cash D) Debit: Service Revenue; Credit: Cash

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter3: Analyzing And Recording Transactions

Section: Chapter Questions

Problem 32MC: Which of the following pairs of accounts are impacted the same with debits and credits? A. Cash and...

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Question

When a company receives cash in advance for services it has yet to provide, what is the appropriate journal
entry?
A) Debit: Cash; Credit: Service Revenue
B) Debit: Unearned Revenue; Credit: Service Revenue
C) Debit: Accounts Receivable; Credit: Cash
D) Debit: Service Revenue; Credit: Cash

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