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accrued revenue is acc. receivable control, which is an asset. if it is not made, the assets will decrease. Eq=A-L, A drop, and then Eq will decrease.
accrued revenue can be category of sales revenue too, so if sales drop, P=I-Ex,
P will decrease
the only thing will increase is L and Ex when comparing with A P or I.
What else can I help you with?
If an adjusting entry is not made for an accrued expense?
If adjusting entry not made then profit will be overstated while the expenses will be understated.
To make an adjusting entry for the accrued commission is what?
Adjusting entry as follows: [Debit] Cash / bank [Credit] Accrued commission
What is journal entry for accrued service revenue?
debit accounts receivableCredit services revenue
What is the Utility expenses incurred but not paid adjusting entry?
This is adjusting entry for Accrued Expenses in the current accounting period, where you debit adjusting entry on expenses (Utility Expenses) account and credit adjusting entry on liabilities (Utilities Payable) account.
What is the correct journal entry for accrued receivable?
debit accounts receivablecredit sales revenue
If an adjusting entry is not made for an accrued expense?
If adjusting entry not made then profit will be overstated while the expenses will be understated.
To make an adjusting entry for the accrued commission is what?
Adjusting entry as follows: [Debit] Cash / bank [Credit] Accrued commission
What is journal entry for Accrued Revenue?
Accrued Revenue is a term that I rarely see, though it is an Asset and should be treated as such. Accrued Revenue would be treated similar to an Account Receivable. The Journal Entry would be a Debit to Accrued Revenue and a Credit to Revenue.
What is journal entry for accrued service revenue?
debit accounts receivableCredit services revenue
What would the journal entry be to record an accured revene?
[Debit] Revenue receivable [Credit] Accrued revenue
What is the Utility expenses incurred but not paid adjusting entry?
This is adjusting entry for Accrued Expenses in the current accounting period, where you debit adjusting entry on expenses (Utility Expenses) account and credit adjusting entry on liabilities (Utilities Payable) account.
What is the correct journal entry for accrued receivable?
debit accounts receivablecredit sales revenue
What Pairs of accounts could not appear in the same adjusting entry?
service revenue and unearned revenue
The rental revenue represents the amount received for 11 months for use of the dining facilities The December rent has not yet been paid What is the adjusting journal entry?
Rent Dr Rent Accrued Cr (for the Dec month)
What accounts could appear in adjusting entry closing entry and reversing entry?
In adjusting entries, accounts such as accrued revenues, accrued expenses, prepaid expenses, and unearned revenues may appear to reflect the true financial position at the end of an accounting period. Closing entries typically involve revenue accounts, expense accounts, and the Income Summary account to transfer balances to retained earnings. Reversing entries usually affect accruals, such as accrued revenues or expenses, to simplify the recording of transactions in the new period. These entries ensure that financial statements accurately reflect the company's financial performance and position.
What is an example of an adjusting entry for deferred items?
An example of an adjusting entry for deferred items is the recognition of unearned revenue. When a business receives payment in advance for services or goods to be delivered in the future, it initially records this as a liability. As the services are performed or goods delivered, an adjusting entry would debit the unearned revenue account and credit the revenue account, reflecting the income earned during the period. This ensures that revenue is recognized in the correct accounting period.
Is adjusting entry debit to revenue and credit to liability correct?
Yes, an adjusting entry that debits revenue and credits a liability is correct in certain situations, such as when recognizing unearned revenue. This adjustment reflects the recognition of revenue that has been earned but was previously recorded as a liability. It ensures that the financial statements accurately reflect the earned revenue and the reduction of the liability.
