Collection is reasonably assured 3 7 revenue

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Unformatted text preview: Collection is reasonably assured. Collection is reasonably assured. 3-7 Revenue Principle When cash is received on the date the revenue is earned, the following entry is made: Company Delivers AND Cash Received Cash (+A) xxx Revenue (+R) xxx 3-8 Revenue Principle If cash is received after the company delivers goods or services, an asset ACCOUNTS RECEIVABLE is recorded. Cash received after revenue is earned ­ Company Delivers Accounts receivable (+A) xxx Revenue (+R) xxx 3-9 Revenue Principle When the cash is received the ACCOUNTS RECEIVABLE is reduced. Cash received after revenue is earned ­ Company...
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