A Service Company Receives a Check from a Customer as Partial

question 8

Multiple Choice

A service company receives a check from a customer as partial payment of his account balance.This transaction does not involve the sale of additional services.How should the entry be recorded?

• A) Debit Cash and credit Accounts Receivable
• B) Debit Cash and credit Sales Revenue
• C) Debit Accounts Receivable and credit Cash
• D) Debit Cash and credit Unearned Revenue

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Definitions:

Social Reinforcement

The use of positive or negative feedback from peers or society to encourage or discourage certain behaviors or attitudes.

Employee Recognition Programs

Formal organizational programs that publicly recognize and reward employees for specific behaviours.

Behaviour Modelling Training

A method of training that involves observing, learning, and replicating the behavior of a role model to acquire new skills or behaviors.

Service Organizations

Businesses that primarily provide intangible products, such as hospitality, banking, and healthcare, to meet the needs of their customers.