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On August 1,Year 1,Benjamin and Associates Collected $18,000 in Advance

question 71

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On August 1,Year 1,Benjamin and Associates collected $18,000 in advance for legal services to be rendered for one year.Which of the following entries reflect the end-of-the-year adjustment to reflect revenue earned?


Definitions:

Hedged

A financial strategy employed to reduce the risk of adverse price movements in an asset by taking an offsetting position in a related security.

Silver Price

The market price for silver, typically expressed per ounce, which can fluctuate based on supply and demand dynamics.

Forward Contract

An individualized pact made between two entities to trade an asset on an agreed future date at a price set in the present.

Make Delivery

The process of fulfilling an order by providing the promised product or service to the buyer.

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