Suppose you have been given a job as an Accounting Clerk in a retail store and have been asked by the manager for advice on an accounting issue. You were told that most of the companies customers pay immediately for services rendered while a few pay st sometime later. As at December 31 , 2013 the company collected $30,000 from its cash customers, while $25,000 is owed by other customers for services rendered within the same period. Advice the manager how much should be recorded as service revenue under the cash basis and accrual basis of accounting for the period in question.
Suppose you have been given a job as an Accounting Clerk in a retail store and have been asked by the manager for advice on an accounting issue. You were told that most of the companies customers pay immediately for services rendered while a few pay st sometime later. As at December 31 , 2013 the company collected $30,000 from its cash customers, while $25,000 is owed by other customers for services rendered within the same period. Advice the manager how much should be recorded as service revenue under the cash basis and accrual basis of accounting for the period in question.
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter3: The General Journal And The General Ledger
Section: Chapter Questions
Problem 4A: What Would You Do?
You are responsible for preparing all of the journal entries for Regional...
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Suppose you have been given a job as an Accounting Clerk in a retail store and have been asked by the manager for advice on an accounting issue. You were told that most of the companies customers pay immediately for services rendered while a few pay
st
sometime later. As at December 31 , 2013 the company collected $30,000 from its
cash customers, while $25,000 is owed by other customers for services rendered within the same period. Advice the manager how much should be recorded as service revenue under the cash basis and accrual basis of accounting for the period in question.
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