Unformatted text preview: difference of $660 since only one month of service ($60) has become an expense. Unearned Revenues: A company receives $500 cash advanced payment for a home repair job. While the cash asset account will be debited the full amount during the current period an adjustment is necessary to reflect cost of supplies and other expenses as well as to record the correct period where the cash is actually earned. Accrued expenses: A company receives an invoice for a service received but payment is not due until after the balance sheet statement is prepared. Accrued revenues: A company performs a job (cash earned) and issues an invoice. Cash will be received at a later date....
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- Spring '09
- Income Statement, $60, Halsey, cash asset account