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Bill's law firm perfumed legal services for a client who could not pay immediately. The business expects to collect $11000 the following month. Later the business received $6600 cash from client.
1. Record the two transactions for Bill Law firm. Include an explanation for each transaction.
2. Open these T-accounts: cash, Accounts receivable, service revenue. Post to all three account, compute each T-account balance and do not as Bal.
3. Answer these question based on your analysis:
a. How much did the business earn? Which amount shows this amount?
b. How much in total assets did the business acquire as a result of the two transaction? Identify each asset and show it balance
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