Question

what is the accounting treatment for revenues? and what is the journal entries when you make the revenues?

Answer 1

Revenues or sales is to be recognised and credited in the books of accounts when an event takes place and there is certainity about final or ultimate realisation of the amount which can also be reliably measured. In other words, there is no uncetainity as to amount or ultimate realisation of the amount due. As stated herein above revenue is to be credited while passing journal entry for recording the transaction and corresponding party/cash/bank account is debited as the case may be.