09 Mar Selenna, Inc., collects cash from customers two wa
Selenna, Inc., collects cash from customers two ways:a. Accrued revenue. Some customers pay Selenna after Selenna has performed service for the customer. During 2014, Selenna made sales of $19,000 on account and later received cash of $8,000 on account from these customers.b. Unearned revenue. A few customers pay Selenna in advance, and Selenna later performs the service for the customer. During 2014, Selenna collected $3,000 cash in advance and later earned $2,000 of this amount. Journalize the following for Selenna:a. Earning service revenue of $19,000 on account and then collecting $8,000 on accountb. Receiving $3,000 in advance and then earning $2,000 as service revenueView Solution: Selenna Inc collects cash from customers two ways a Accrued
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