medium · Financial Accounting accounting-cycle-financial-statements
On October 1, a firm receives $6,000 in advance from a customer for a six-month service contract. The bookkeeper correctly debits 'Cash' and credits 'Unearned Revenue.'
What is the 'Unearned Revenue' balance on the December 31 Balance Sheet?
- 0
- $3,000
- $1,000
- $6,000
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