on february 1, complete computer service earned $2,200 of service revenue on account.

the journal entry to record this transaction would be

Question

on february 1, complete computer service earned $2,200 of service revenue on account.

the journal entry to record this transaction would be

Accepted Answer

{ "quality": "clear", "question_count": 1, "skills_matched": [ "step_cot", "multiple_choice_formatter", "explain_then_answer", "quick" ], "needs_drawing": false, "concepts_used": [ "Journal Entry" ], "new_concepts": [], "current_concepts": [ "Journal Entry", "Service Revenue Transaction" ] } ## Analyze the transaction details $$ \begin{aligned} &\text{Transaction Date: February 1} \ &\text{Revenue Earned: } \$2,200 \ &\text{Payment Terms: "on account" (implies Accounts Receivable, not Cash)} \end{aligned} $$ ## Determine debit and credit accounts $$ \begin{aligned} &\text{Debit: Accounts Receivable (Asset increases) } ightarrow \$2,200 \ &\text{Credit: Service Revenue (Revenue increases) } ightarrow \$2,200 \end{aligned} $$ ## Match with the correct journal entry option $$ \begin{array}{c|c|c} \text{Accounts} & \text{Debit} & \text{Credit} \ \hline \text{Accounts Receivable} & 2,200 & \ \text{Service Revenue} & & 2,200 \end{array} $$

(A) Debit Accounts Receivable $2,200; Credit Service Revenue $2,200

(B) Debit Service Revenue $2,200; Credit Accounts Receivable $2,200

(C) Debit Service Revenue $2,200; Credit Cash $2,200

(D) Debit Cash $2,200; Credit Service Revenue $2,200

{ "subject": "Business", "question_type": "Multiple Choice", "knowledge_point": [ "Business", "Accounting", "Journal Entries" ] }

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QUESTION IMAGE

Question

Explanation:

Analyze the transaction details

Determine debit and credit accounts

Match with the correct journal entry option

Answer: