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Student scholarships for which no service was required were applied to student accounts in the amount of $5,000. What is the journal entry to record this event?

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User Krsnaadi
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Final answer:

The journal entry to record the student scholarships for which no service was required in the amount of $5,000 is a debit to Tuition Revenue and a credit to Scholarships Payable.

Step-by-step explanation:

The journal entry to record the student scholarships for which no service was required in the amount of $5,000 would be:

Debit: Tuition Revenue - $5,000

Credit: Scholarships Payable - $5,000

This journal entry increases the Tuition Revenue account because the scholarships are being applied to student accounts as a form of payment. It also increases the Scholarships Payable liability account because the school owes the scholarship amount to the students.

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User Shama
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