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damaskus [11]
3 years ago
12

Bayside Technical Services signed a contract on a sixminusmonth job for a​ client, starting on March 1. Bayside will collect​ $2

4,000 from its customer when the job is finished but the revenue is earned evenly over the six months. On March​ 31, before adjusting entries are​ made, Bayside's Accounts Receivable account had a debit balance of​ $4,000. After the March 31 monthly adjusting entry has been​ made, what will be the balance in Accounts​ Receivable?
Business
1 answer:
krek1111 [17]3 years ago
4 0

Answer:

$8,000

Explanation:

The computation of the balance in the account receivable is shown below:

= One month balance + debit balance of the account receivable

where,

One month balance is

= Total collection made by the customer ÷ number of months

= $24,000 ÷ 6 months

= $4,000

And, the debit balance of the account receivable is $4,000

So, the balance in account receivable is

= $4,000 + $4,000

= $8,000

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