Question

Customers were billed for $4,570 for work completed. The service revenue unadjusted balance as of December 31 is $11,200. What is the adjusted service revenue balance after accounting for the billed amount? A) $6,630 B) $4,570 C) $11,200 D) $15,770

Answer 1

The adjusted service revenue balance is $6,630.

Step-by-step explanation:

The adjusted service revenue balance after accounting for the billed amount can be calculated by subtracting the billed amount from the unadjusted service revenue balance. In this case, the unadjusted service revenue balance is $11,200 and the billed amount is $4,570. Subtracting $4,570 from $11,200 gives us an adjusted service revenue balance of $6,630.

Answer 2

The adjusted service revenue balance after adding the newly billed amount of $4,570 to the unadjusted balance of $11,200 is $15,770, making the correct answer D) $15,770.

Step-by-step explanation:

When customers are billed for work completed, this amount should be accounted for in the company's financial records. The question provided indicates that work was completed and billed at a value of $4,570. Given that the service revenue unadjusted balance as of December 31 is $11,200, we must add the newly billed amount to this unadjusted balance to find the adjusted service revenue balance. To calculate the adjusted balance, we add the $4,570 to the unadjusted balance of $11,200. Therefore, the adjusted service revenue balance after accounting for the billed amount is:

$11,200 + $4,570 = $15,770.

The correct answer to the question 'What is the adjusted service revenue balance after accounting for the billed amount?' is D) $15,770.