A Company Provided $12,000 of Consulting Services to a Customer $\begin{array}{|l|r|r|}\hline \text { Accounts receivable } & 12,000 & \\\hline \text { Cash } & & 12,000 \\\hline\end{array}$

question 31

Multiple Choice

A company provided $12,000 of consulting services to a customer on account.The customer promises payment in 30 days.Identify the journal entry below that properly records this transaction.

• A) \(\begin{array}{|l|r|r|}
• \hline \text { Accounts receivable } & 12,000 & \\
• \hline \text { Cash } & & 12,000 \\
• \hline
• \end{array}\)
• B) \(\begin{array}{|l|r|l|}
• \hline \text { Cash } & 12,000 & \\
• \hline \text { Consulting services revenue } & & 12,000 \\
• \hline
• \end{array}\)
• C) \(\begin{array}{|l|r|r|}
• \hline \text { Consulting services revenue } & 12,000 & \\
• \hline \text { Cash } & & 12,000 \\
• \hline
• \end{array}\)
• D) \(\begin{array}{|l|r|l|}
• \hline \text { Accounts payable } & 12,000 & \\
• \hline \text { Consulting services revenue } & & 12,000 \\
• \hline
• \end{array}\)
• E) \(\begin{array}{|l|r|r|}
• \hline \text { Accounts Receivable } & 12,000 & \\
• \hline \text { Consulting services revenue } & & 12,000 \\
• \hline
• \end{array}\)

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Definitions:

Bogey Portfolio

A benchmark used to evaluate a fund's performance by comparing it with a standard point of reference.

Asset Classes

Categories of assets with similar characteristics, such as equities, fixed income, real estate, and commodities, used in investment diversification.

Asset Allocation

The strategy of distributing investments among various types of assets (e.g., stocks, bonds, real estate) to optimize risk and reward based on an individual's or entity's goals and risk tolerance.

Excess Return

The return on an investment that exceeds a benchmark or risk-free return.