In October, Panda Bear Childcare collected payment from customers billed in September for September childcare services. The receipt of the cash is recorded with a debit to Cash and a credit to

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The receipt of cash for services billed in a previous period is recorded by debiting Cash and crediting Accounts Receivable, as it reduces the outstanding amount owed by customers.

In October, Panda Bear Childcare Collected Payment from Customers Billed