When a Company Has Performed a Service but Has Not

question 69

Multiple Choice

When a company has performed a service but has not yet received payment,what is the required journal entry to be recorded?

• A)Accounts Receivable - Debit;Service Revenue - Credit
• B)Service Revenue - Debit;Accounts Payable - Credit.
• C)Service Revenue - Debit;Accounts Receivable - Credit
• D)No entry is required until the cash is received.

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Definitions:

Sucrose

A disaccharide composed of glucose and fructose, commonly known as table sugar and used as a sweetener and preservative.

Gallbladder

A small organ located under the liver that stores bile, a fluid produced by the liver to digest fats.

Bile

Bile is a digestive fluid produced by the liver and stored in the gallbladder, aiding in the digestion and absorption of fats in the small intestine.

Vitamins

Organic compounds that are essential for normal growth and nutrition and are required in small quantities in the diet because they cannot be synthesized by the body.