A Business Renders Services to a Customer for $26,000 on Account

question 14

Multiple Choice

A business renders services to a customer for $26,000 on account. Which of the following accounts will be debited?

• A)Cash
• B)Accounts Receivable
• C)Service Revenue
• D)Bank

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Definitions:

First Amendment

In the context of contracts, it refers to the initial modification or alteration made to an original contract agreement. In a broader U.S. constitutional context, it refers to the amendment that protects freedoms concerning religion, expression, assembly, and the right to petition.

Franchisor

One licensing another (the franchisee) to use the owner’s trademark, trade name, or copyright in the selling of goods or services.

Prospective Franchisees

Individuals or entities considering the acquisition of franchise rights to operate a business under the franchisor's brand and system.

State Approval

Formal consent given by a governmental entity authorizing an action, policy, or regulation to take effect.