A Business Maintains Subsidiary Accounts for Each of Its Customers

question 56

Essay

A business maintains subsidiary accounts for each of its customers. On April 7, the business provides $2,500 in services to Anne Hill on account. The business sells $4,000 (sales price) of merchandise inventory to Ron Wilson on account.
The full amount was collected from each customer on April 26.
Prepare the journal entries for April 7 and April 26. Ignore Cost of Goods Sold and omit explanations.
$$\begin{array} { | l | l | l | l | } \hline \text { Date } &\quad & \text { Debit } & \text { Credit } \\\hline & & & \\\hline & & & \\\hline & & & \\\hline & & & \\\hline & & & \\\hline & & & \\\hline & & & \\\hline & & & \\\hline\end{array}$$

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Definitions:

Adolescents

Individuals in the transitional stage of physical and psychological development that generally occurs during the period from puberty to legal adulthood.

Sensorimotor Play

Behavior that allows infants to derive pleasure from exercising their existing sensorimotor schemes.

Eight-month-old

Describes a child who is in the eighth month of life, a stage characteristically marked by significant developmental milestones such as sitting up and beginning to explore.

Bounces

In digital communication, the return of an email or other message to the sender because it could not be delivered to the recipient.