On December 13, 2009, Michael Company Received $8,000 in Cash

question 26

Short Answer

On December 13, 2009, Michael Company received $8,000 in cash as a payment in advance from a customer and credited Unearned Service Revenue. The balance in the Unearned Service Revenue account was $2,000 at the beginning of December. At the end of December, all but $500 had been earned. What adjusting entry is necessary at the end of December?

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Definitions:

Tai Chi

A form of Chinese martial arts practiced for both its defense training and its health benefits, involving slow, controlled movements.

Fear of Falling

An excessive worry about falling that can affect the physical and psychological wellbeing of individuals, particularly the elderly.

Balance

A state where different elements are equal or in the correct proportions.

Decrease Hostility

The process of reducing feelings of anger or opposition.