On December 31, the end of the accounting period, $5,300 in service fees had been earned but not billed or received. The firm uses the account Fees Receivable to reflect amounts due but not yet billed.

The proper adjustment would be:

	BALANCE SHEET							INCOME STATEMENT
	ASSETS		=	LIABILITIES	+	STOCKHOLDER'S EQUITY		REVENUE	EXPENSE
	(Cash)	(Fees Receivable)		(Unearned Service Fees)				(Service Fees Earned)
A)	+5,300					+5,300		+5,300
B)		+5,300				+5,300		+5,300
C)		+5,300		+ 5,300
D)				-5,300		+5,300		+5,300