A business renders services to a customer for $26,000 on account.Which of the following accounts is debited?
A)Cash
B)Accounts Receivable
C)Service Revenue
D)Accounts Payable

Question

Quizplus · Accepted Answer

Accounts Receivable is debited when services are rendered on account, as it represents the increase in the amount owed to the business by the customer. The other options are not applicable in this scenario - Cash would be debited if payment was received at the time of the service, Service Revenue would be credited (not debited) to reflect the earned revenue, and Accounts Payable would be credited when the business pays for expenses it owes to vendors.

A Business Renders Services to a Customer for $26,000 on Account.Which