On May 1, Mary's Morsels Company provided catering services at a wedding. The bride is billed $4,000 and will pay during the following month. Record this transaction on May 1 in the accounting equation of Mary's Morsels by:

accounts receivables 4,000 debit

services revenue 4,000 credit

Explanation:

The accounting works with accrual basis so we will reocrd the transaction when it was performed regarding of the time of collection of the catering services.

The accounting wil represent the fact the services weren't pay at the moment of performance thus, the business has the claim on the billed amount.

Also, it will represent the amount earned for the business which is the 4,000 dollar billed.