Techno Technical Services Is Working on a Six-Month Job for a Client,starting

question 147

Multiple Choice

Techno Technical Services is working on a six-month job for a client,starting on February 1.It will collect $30,000 from its customer when the job is finished but the revenue is earned evenly over the six months.On March 31,before adjusting entries are made,Techno's Accounts Receivable account had a debit balance of $6,000.After the March 31 monthly adjusting entry has been made,what will be the balance in Accounts Receivable?

• A)Debit balance of $5,000
• B)Credit balance of $25,000
• C)Debit balance of $11,000
• D)Debit balance of $30,000

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Definitions:

Total Revenue

The total amount of money generated by the sale of goods or services related to the company's primary operations.

Total Revenue

The complete sum of funds a business acquires from sales or services rendered over a specific timeframe.

Price-Elasticity Coefficient

A measure indicating how much the quantity demanded of a good responds to a change in its price, indicating its sensitivity.

Price Elasticity

An assessment of the extent to which the demand or supply of a product shifts following a price adjustment.