correcting entry On August 1 Garcia Company received 600 on

correcting entry

On August 1, Garcia Company received $600 on account (from a customer for services previously performed and billed on July 15). The bookkeeper recorded this by debiting Cash and crediting Service Revenue

Solution

so first we need to correct the wrong entry that would be

service revenus A/c Dr.

to Cash A/c

as we reverse the entery the previously worong entry will have no effects on the balances now we need to record the real entry and that entry would be

Bank A/c Dr.

To (customer\'s A/c)

so by doing this the entry will be recoreded in the books os accounts.