Orman Unlimited performed service for a client who could not pay immediately. Orman expected to collect the $5,200 the following month. A month later, Orman received $2,400 cash from the client.
1. Record the two transactions on the books of Orman Unlimited. Include an explanation for each transaction.
2. Post to these T-accounts: Cash, Accounts Receivable, and Service Revenue. Compute each account balance and denote as Bal.