Question
One of the companies for which you provide accounting services offers office cleaning services and has 10 customers. Cleaning services are provided in the evenings,
One of the companies for which you provide accounting services offers office cleaning services and has 10 customers. Cleaning services are provided in the evenings, Sunday through Thursday, at a rate of $30 per day. Billing is done every Friday. During the month, revenue is recorded when billing is done. Assume that the month of May ends on a Tuesday. Therefore, including the last day of the month, revenue has been earned for (1,2,3,4,5) days in May that has not yet been recorded. An adjusting entry must be recorded that: A.Increases an asset account and increases a revenue account B.Increases a liability account and increases an expense account. C.Decreases an asset account and increases an expense account. D.Decreases a liability account and increases a revenue account.
Lastly, Record the adjusting entry. If an amount box does not require an entry leave it blank or enter "0".
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