What would be the effect on accounts if the business provided services to a customer collecting cash?
A) An asset would be debited and an expense credited.
B) Capital would be debited and revenue credited.
C) An asset would be debited and revenue credited.
D) An asset would be debited and Capital credited.

Question

Quizplus · Accepted Answer

When a business provides a service to a customer and collects cash, an asset (the cash received) would be debited and revenue (from the service) would be credited. This increases the assets of the business and recognizes the revenue earned from the service provided.

What Would Be the Effect on Accounts If the Business