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During 2019, AJE, Inc. received $20,000 cash from a customer as an advance payment for various services to be performed by AJE over the next
During 2019, AJE, Inc. received $20,000 cash from a customer as an advance payment for various services to be performed by AJE over the next year. By the end of 2019, AJE, Inc. had satisfied its performance obligations with respect to $15,000 of these services. What adjusting journal entry, if any, should AJE, Inc. make in preparing its financial statements for the year ended December 31, 2019? Select one: a. No adjusting entry is needed. 15,000 O b. Service revenue Deferred revenue 15,000 5,000 Deferred revenue . Service revenue 5,000 5,000 O d. Service revenue Deferred revenue 5,000 15,000 e. Deferred revenue Service revenue 15,000
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