Question

If houston company billed a client for $19,000 of consulting work completed, the accounts receivable asset increases by $19,000 and?

Answer 1

Revenue is increases by $19,000.

If the Houston Company charged a client for $19,000 of consulting work completed, the records resources increments by $19,000 and Revenue also increases by $19,000.

Revenue are sales and increments for charging clients as receivable.

Revenue diminishes when there is sales return.

Cash is neither increments or nor diminishes as there is no contribution of money.

If we journalize the entry will be:

Accounts Receivable Debit the amount $19,000

Sales Revenue Credit the amount $19,000.

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