The Following Transactions Occurred During July: 1

Multiple Choice

The following transactions occurred during July: 1.Received $1,600 cash for services performed during July.
2.Received $10,000 cash from the issuance of common stock to owners.
3.Received $800 from a customer as payment for services performed during June.
4.Billed $7,000 to customers for services performed on account in July.
5.Borrowed $5,000 from the bank and signed a promissory note.
6.Received $2,000 from a customer for services to be performed during August.
Which of the following statements about the recording of these transactions is correct?

A) Transaction #1 would include a debit to Service Revenue.
B) Transaction #3 would include a debit to Accounts Receivable.
C) Transaction #4 would include a debit to Accounts Receivable.
D) Transaction #6 would include a debit to Deferred Revenue.