Which of the following entries records the receipt of cash from cash customers for services provided? a. Fees Earned, debit; Cash, credit b. Cash, debit; Fees Earned, credit c. Fees Earned, debit; Accounts Receivable, credit d. Accounts Receivable, debit; Fees Earned, credit

Question

Business

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30 June, 00:38

Which of the following entries records the receipt of cash from cash customers for services provided? a. Fees Earned, debit; Cash, credit b. Cash, debit; Fees Earned, credit c. Fees Earned, debit; Accounts Receivable, credit d. Accounts Receivable, debit; Fees Earned, credit

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Answers (1)

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Madison Warner · Answer 1

The correct answer is b. Cash, debit; Fees Earned, credit.

Explanation:

In the entry of a cash sale, the cash accounts (with their respective auxiliaries) and the sales account are affected, while when we are going to write down the sales on credit, the cash account is replaced by a so-called Accounts by Charge. This way you can keep track of how much money customers owe the company.