Mary Richardo, CPA, has billed her clients for services performed.She subsequently receives payments from her clients.What entry will she make upon receipt of the payments?
A)Debit Unearned Service Revenue and credit Service Revenue
B)Debit Cash and credit Accounts Receivable
C)Debit Accounts Receivable and credit Service Revenue
D)Debit Cash and credit Service Revenue

Question

Quizplus · Accepted Answer

When Mary receives payments from her clients, she debits Cash to increase it and credits Accounts Receivable to decrease it, reflecting the collection of outstanding amounts.

Mary Richardo, CPA, Has Billed Her Clients for Services Performed