The account receivables must be increased after which the adjusting entry to record revenues has been posted provided that the seller has performed its obligations but not yet received.
Accounts receivable is the amount of money owing to a company for products or services provided or utilized but not yet paid for by consumers.
Accounts receivables are indeed a current asset on the balance sheet.
Therefore, we can conclude that the account receivables must be increased after which the adjusting entry to record revenues has been posted provided that the seller has performed its obligations but not yet received.
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