on 26th April the parents of one of the students that Jasmine tutors paid her $500 in
Question:
on 26th April the parents of one of the students that Jasmine tutors paid her $500 in advance for ten tutoring sessions, which Jasmine recorded as income. Only one of the sessions was conducted the same day.
I recorded this as an increase in asset and revenue, however, would it be like this, the $50 is recorded under income from tuition services, and the rest 450 as a increase in liability (accounts receivable)
however, in the adjustment task, it says that 'Nine of the ten tutoring sessions that were paid in advance have not been performed.'
Does this indicate that there are 9 accounts receivable (or do we put the cost of these 9 together as a group in the ledger?) or it implying that the rest 9 aren't gonna happen at all?
- I am unsure how to put these in the ledger