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On October 31 of the current year, a contract was signed and a cheque received for services to be ...

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On October 31 of the current year, a contract was signed and a cheque received for services to be ...

On October 31 of the current year, a contract was signed and a cheque received for services to be performed by October 31 of the following year. The Unearned Service Revenue account was credited for $4,800. Assuming services were performed evenly during the remainder of the year, the adjusting entry on December 31 will involve a:
A) credit to Unearned Service Revenue $800
B) credit to Service Revenue for $4,000
C) credit to Service Revenue $800
D) debit to Unearned Service Revenue $4,000

Textbook

Cost Accounting: A Managerial Emphasis, Canadian Edition

Edition: 7^th

Authors: Horngren, Datar, Rajan, Beaubien

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