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Mavis Enterprises received $28,000 from a customer on October 31, 2020 for work beginning immediately and to be completed by February 28, 2021. Mavis uses
Mavis Enterprises received $28,000 from a customer on October 31, 2020 for work beginning immediately and to be completed by February 28, 2021. Mavis uses the Unearned Revenue account. As of December 31, 2020, 45% of the work had been completed. What entry must Mavis make at October 31, 2020?
| Debit: Unearned Revenue, $12,600; Credit: Revenue, $12,600 | |
| Debit: Revenue, $12,600; Credit: Unearned Revenue, $12,600 | |
| Debit: Cash, $28,000; Credit: Unearned Revenue, $28,000 | |
| Debit: Unearned Revenue, $15,400; Credit: Revenue, $15,400 |
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