Question

Knowledge Check 01 On March 1, a designer received a check for $7,500 from a customer for services to be provided after the customer chooses a color scheme for the first floor of her house. On July 31, the designer completed the design work for this customer. Prepare the July 31 journal entry by selecting the account names from the drop-down menus and entering the dollar amounts in the debit or credit columns.

Answer 1

Answer:

              The Designer Journal Entry

Date         General Journal                 Debit            Credit

July 31      Unearned Revenue            $7,500  

                Design Services Revenue                     $7,500