Multiple Choice
On May 25, Yellow House Company received a $650 check from Grizzly Bean for services to be performed in the future.The bookkeeper for Yellow House Company incorrectly debited Cash for $650 and credited Accounts Receivable for $650.The amounts have been posted to the ledger.To correct this entry, the bookkeeper should:
A) debit Cash $650 and credit Unearned Service Revenue $650.
B) debit Accounts Receivable $650 and credit Service Revenue $650.
C) debit Accounts Receivable $650 and credit Cash $650.
D) debit Accounts Receivable $650 and credit Unearned Service Revenue $650.
Correct Answer:

Verified
Correct Answer:
Verified
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