On Sept 9, Daniels Corporation earns $2,000 by performing consulting services. Their customer said that she would pay next month. Daniels Corporation journalized the transaction as follows, but something is wrong with the journal entry. Use your knowledge of what a correct journal entry should look like to identify everything that is wrong. (Check all that apply.) a. Consulting revenue should be listed below the debited account as it is credited. b. Dollar signs should be included in the Debit and Credit columns. c. Accounts payable is not involved in this transaction. d. The Consulting revenue account should be indented, as it is credited. e. The correct account that should be debited is the Accounts receivable account.

Question

Business

Kinsley Miller

29 May, 04:03

On Sept 9, Daniels Corporation earns $2,000 by performing consulting services. Their customer said that she would pay next month. Daniels Corporation journalized the transaction as follows, but something is wrong with the journal entry. Use your knowledge of what a correct journal entry should look like to identify everything that is wrong. (Check all that apply.) a. Consulting revenue should be listed below the debited account as it is credited. b. Dollar signs should be included in the Debit and Credit columns. c. Accounts payable is not involved in this transaction. d. The Consulting revenue account should be indented, as it is credited. e. The correct account that should be debited is the Accounts receivable account.

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Answers (1)

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Kenya Gray · Answer 1

The answers are:

A) Consulting revenue should be listed below the debited account as it is credited.

C) Accounts payable is not involved in this transaction.

D) The Consulting revenue account should be indented, as it is credited.

E) The correct account that should be debited is the Accounts receivable account.