- When is the P25,000 considered to be earned?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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An automobile repair shop renders various car repair services for P25,000 on April
12. The shop sent a statement of account on April 15 and a payment was received
on May 2. The amount was deposited with the bank on May 3. The firm uses accrual
accounting. When is the P25,000 considered to be earned?
Transcribed Image Text:An automobile repair shop renders various car repair services for P25,000 on April 12. The shop sent a statement of account on April 15 and a payment was received on May 2. The amount was deposited with the bank on May 3. The firm uses accrual accounting. When is the P25,000 considered to be earned?
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