ACCRUED REVENUE

The treatment of accrued or unrecorded revenue is the same as of accrued or unrecorded expenses any revenue which has been earned but not received are recorded in the accounting period it could be recognized in the accounts by means of adjusting entry.

ILLUSTRATION: Following are some adjustment on December 31

Rent for the last two months not yet received  7,00
commission receivable                          7,500
service rendered but not billed               2000
Required Adjusting entries

          Accrued rent revenue receivable      7,00
                  Rent revenue                                          7,00
          ________________________

         Commission revenue receivable       7,500
               Commission receivable                             7,500    
        ___________________________
         Service rendered receivable          2,000     
               service rendered                                      2,000 
        ___________________________