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Two Weeks Earlier, a Business Had Rendered Services to One  Cash 1,000 Accounts Receivable 1,000\begin{array} { | c | r | r | } \hline \text { Cash } & 1,000 & \\\hline \text { Accounts Receivable } & & 1,000 \\\hline\end{array}

Question 53

Multiple Choice

Two weeks earlier, a business had rendered services to one of its customers on account for which the payment was received today. Which of the following entries would be recorded if the company uses accrual basis accounting?


A)  Cash 1,000 Accounts Receivable 1,000\begin{array} { | c | r | r | } \hline \text { Cash } & 1,000 & \\\hline \text { Accounts Receivable } & & 1,000 \\\hline\end{array}
B)  Salary Expense 1,000 Cash 1,000\begin{array} { | c | r | r | } \hline \text { Salary Expense } & 1,000 & \\\hline \text { Cash } & & 1,000 \\\hline\end{array}
C)  Cash 1,000 Service Revenue 1,000\begin{array} { | c | r | r | } \hline \text { Cash } & 1,000 & \\\hline \text { Service Revenue } & & 1,000 \\\hline\end{array}
D)  Supplies 1,000 Cash 1,000\begin{array} { | c | r | r | } \hline \text { Supplies } & 1,000 & \\\hline \text { Cash } & & 1,000 \\\hline\end{array}

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