If a company has earned revenue for which no entry has been recorded by the end of the accounting period,an adjustment should be made which would:

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When a company earns revenue that hasn't been recorded by the end of the accounting period, an adjustment is made to recognize the revenue earned. This involves debiting an asset account (to reflect the increase in assets, such as Accounts Receivable if the revenue is yet to be received in cash) and crediting a revenue account (to record the earned revenue). This adjustment ensures that the revenue is recognized in the period it was earned, adhering to the accrual basis of accounting.

If a Company Has Earned Revenue for Which No Entry