Jasmine Company Received a $350 Cheque from a Customer for the Balance

question 72

Multiple Choice

Jasmine Company received a $350 cheque from a customer for the balance due on an accounts receivable. The transaction was erroneously recorded as a debit to cash of $530 and a credit to service revenue of $530. The correcting entry is

• A) debit Accounts Receivable $350; credit Cash $350
• B) debit Accounts Receivable $180; credit Cash $180
• C) debit Service Revenue $530; credit Cash $180; credit Accounts Receivable $350
• D) debit Service Revenue $530; credit Cash $350; credit Accounts Receivable $180

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Definitions:

Relative Displacement

A measure of the change in position of an object in relation to a reference point.

Nervous System

The network of nerve cells and fibers that transmits nerve impulses between parts of the body, enabling communication and response to the environment.

Voluntary Eye Movements

Eye movements that are consciously controlled, allowing for the visual scanning of the environment.

Motion Parallax

A depth cue that involves the relative movement of objects as the observer moves, allowing for the perception of three-dimensional depth.