explain why it is important that this transaction be recorded correctly $($what does it affect if the transaction is not recorded or recorded incorrectly$).$Transaction $4-$Earning of Service Revenue for Cash

Smart Touch Learning earns service revenue by providing training services for clients. The business earns $$5,500$ of revenue and collects this amount in cash. The effect on the accounting equation is an increase in Cash and an increase in Service Revenue as follows:

A revenue transaction grows the business, as shown by the increases in assets and equity.