Performing a service on account would include a:

Question

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Performing a service on account means that the company has provided a service to a customer but has not yet received payment. Therefore, a debit to Accounts Receivable is necessary to reflect the increase in the amount owed to the company by the customer. A credit to Revenue would also be necessary to recognize the revenue earned from providing the service, but it is not one of the answer options. A debit to Cash would not be appropriate since no cash has been received yet.

Performing a Service on Account Would Include A