On October 5, Tina Serelio performed legal services for a client who could not pay immediately. The business expected to collect the $12,000 the following month. On November 18, the business received $5,500 cash from the client.

1. Record the two transactions for Tina Serelio, Lawyer. Include an explanation for each transaction.

2. Open these T-accounts: Cash; Accounts Receivable; Service Revenue. Post to all three accounts. Compute each account's balance and denote it as Bal.

3. Answer these questions based on your analysis:

a. How much did the business earn? Which account shows this amount?

b. How much in total assets did the business acquire as a result of the two transactions? Identify each asset and show its amount.