Accepted a 90-day $1,000 note receivable from a company for services performed.
How do I journalize this transacation?
Note Receivables DR $1,000 and CR to which account?
Thanks,
Dell
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Accepted a 90-day $1,000 note receivable from a company for services performed.
How do I journalize this transacation?
Note Receivables DR $1,000 and CR to which account?
Thanks,
Dell
Cr. Sales 1,000
That is saying to a customer, instead of taking 30 days to pay me (Accounts Receivable), you can have 90, but at a certain interest rate... Notes Receivable
Instead of crediting sales can I enter the credit to Fee Income, because the company doesn't have a Sales account.
Thanks,
Dell
Yes,
Sales, Fee Income, its all Revenue. Companies just call it different things.
So if they have something for Fee Income, then Credit that.
Thank you so much.
Dell
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