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Accounts Receivable is an asset since it is a resource controlled by the entity as a result of past transaction with the future economic benefit to flow to the entity.
Sale of goods and services is a revenue and not accounts receivable.
What else can I help you with?
What type of account is the rent receivable account?
Revenue account
Is a service revenue that is billed but not paid a credit or debit?
A service revenue that is billed but not paid is an account receivable. Account receivables are assets and therefore you would "debit" the account.
What is the adjustment for service revenue earned but unbilled total 600?
debit account receivable credit service revenue
when a sale is made on an accounts receivable account what needs to be debited and credited?
When a sale is made on an accounts receivable account, the Accounts Receivable account is debited to reflect the increase in money owed by customers. Simultaneously, the Sales Revenue account is credited to recognize the income generated from the sale. This entry ensures that both the asset and revenue accounts are accurately updated in the accounting records.
How is accounts receivable effected by credit sales?
Any sales on account (aka credit sales) will increase accounts receivable by the same amount. The journal entry for this would be: Account Receivable (debit) Sales (revenue) (credit)
What type of account is the rent receivable account?
Revenue account
Is service revenue a revenue account?
Yes, it is, but accounts receivable is not.
What to debit after increasinf accounts receivable?
the debit will be to the accounts receivable because a debit increases it. the offset account in this entry is usually a revenue account. so therefore a credit to revenue.
What is the Credit account for a Receivable account?
Sales revenue is a typical one. Dr. A/R Cr. Sales Revenue
When services are sold on account?
Services are sold on account by which, when you receive revenue or income, it will be receivable if the revenue or income are not earned when the services is/or/are already performed
How do you jourmalize sales on account?
[Debit] accounts receivable [Credit] Sales revenue
What is the adjustment for service revenue earned but unbilled total 600?
debit account receivable credit service revenue
Is a service revenue that is billed but not paid a credit or debit?
A service revenue that is billed but not paid is an account receivable. Account receivables are assets and therefore you would "debit" the account.
How calculate accounts receivable turnover ratio?
the formula of calculating account receivable turnover = Net Sales/ average gross receivable
How is accounts receivable effected by credit sales?
Any sales on account (aka credit sales) will increase accounts receivable by the same amount. The journal entry for this would be: Account Receivable (debit) Sales (revenue) (credit)
When you rendered services on account what accound do you debit?
If you render a service n account to a customer you debit Account Receivable and credit Service Revenue.
What accounts are affected when services are provided on account?
Accounts Receivable - Debit Service Revenue - Credit
