7 performed cleaning services for ts customers for cash Thes

7. performed cleaning services for ts customers for cash. These transactions would be recorded as O Debit Cash, credit Accounts Receivable O Debit Service Revenue, credit Cash O Debit Cash, credit Service Revenue O Debit Accounts Receivable, credit Service Revenue

Solution

Answer:

Option “Debit Cash, Credit Service Revenue” is Correct.

The cash is received from Customer against Services rendered and hence it will be Debited. The Revenue is generated due to Service performed and hence it will be Credited.