During June, Thuy Bui's business performed services for a specific customer for which the fee was $5,000. Payment was received in the following month July. Required: 1. Was the revenue earned in June or July? How is profit determined under the cash basis of accounting and the accrual basis of accounting? 2. What journal entries should be recorded under accrual accounting in June and July 3. What journal entries should be recorded under cash accounting in June and July? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). T TT Arial
During June, Thuy Bui's business performed services for a specific customer for which the fee was $5,000. Payment was received in the following month July. Required: 1. Was the revenue earned in June or July? How is profit determined under the cash basis of accounting and the accrual basis of accounting? 2. What journal entries should be recorded under accrual accounting in June and July 3. What journal entries should be recorded under cash accounting in June and July? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). T TT Arial
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter12: Special Journals
Section: Chapter Questions
Problem 1MP: During the month of October 20--, The Pink Petal flower shop engaged in the following transactions:...
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