What would be the Journal Entry for the following

What would be the Journal Entry for the following:

A customer had previously paid $500 in advance on an order. The order has now been shipped FOB destination.

Generally Accepted Accounting Principles (GAAP) allow companies to issue financial statements, using either the cash basis or the accrual basis of accounting, depending on their needs.

Question 1 options:

True

False

Question 2

Adjusting entries are done to make sure that expenses and revenues are recorded in the proper accounting period.

Question 2 options:

True

False

Question 3

A single journal entry must debit only one account and credit only one account for the same amount so that the entry is in balance.

Question 3 options:

True

False

Question 4

The current ratio is cash divided by current liabilities.

Question 4 options:

True

False

Question 5

Materiality is subjective. One company may consider $1,000 material and another company may not.

Question 5 options:

True

False