Jonathan Law Firm performed legal services for a client who could not pay immediately. The business expected to collect the \($9,000\) the following month. Later, the business received \($5,400\) cash from the client.

Requirements 

1. Record the two transactions for Jonathan Law Firm. Include an explanation for each transaction.

2. Open these T-accounts: Cash; Accounts receivable; Service revenue. Post to all three accounts. Compute each T-account’s balance, and denote as Bal.

3. Answer these questions based on your analysis:

a. How much did the business earn? Which account shows this amount?

b. How much in total assets did the business acquire as a result of the two transactions? Identify each asset and show its amount.