When customers pay for services with a check,the company should debit Accounts Receivable and credit Service Revenue.

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When customers pay for services with a check, the company should debit Cash and credit Accounts Receivable to record the receipt of payment. The debit to Cash increases the amount of funds that the company has, while the credit to Accounts Receivable reduces the amount of money owed to the company by the customer. The company should not credit Service Revenue in this journal entry because the revenue was already recognized at the time the service was provided, not when the payment was received.

When Customers Pay for Services with a Check,the Company Should