Justa plc. follows accrual account and provides legal services on credit in December. The service...
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Accounting
Justa plc. follows accrual account and provides legal services on credit in December. The service was billed at the agreed amount of 2,500. Justa plc. increases accounts receivable by 2,500 and increases revenue by 2,500. The effect of this entry on the statement of financial position of Justa plc. is to increase assets by 2,500 and to:
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increase equity by 2,500
decrease equity by 2,500
decrease assets by 2,500
increase liabilities by 2,500
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