Wave Company receives $18,000 in advance this month for work to be performed next month.This month,the company should record a journal entry that includes a debit to:
A) Cash and a credit to Service Revenue for $18,000.
B) Cash and a credit to Deferred Revenue for $18,000.
C) Cash and a credit to Accounts Receivable for $18,000.
D) Prepaid Services and a credit to Cash for $18,000.
Correct Answer:
Verified
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