Adjusting entry for accrued feesAt the end of the current year, $59,500 of fees have been earned but havenot been billed to clients. A. Journalize the adjusting entry to record the accrued fees.B. If the cash basis rather than the accrual basis had been used,would an adjusting entry have been necessary? Explain.

Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter3: Basic Accounting Systems: Accrual Basis
Section: Chapter Questions
Problem 3.21E: Adjustments for unearned and accrued fees The balance in the unearned fees account, before...
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Adjusting entry for accrued fees
At the end of the current year, $59,500 of fees have been earned but have
not been billed to clients.

A. Journalize the adjusting entry to record the accrued fees.
B. If the cash basis rather than the accrual basis had been used,
would an adjusting entry have been necessary? Explain.

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