What is the Journal Entry here on the Dog Company's books? : Sony Pictures hires the Dog Company to design a dog park. Nicole and Matt sign a contract to be paid $15,000 and commence contruction. Sony gave a deposit of $1,000 with balance to be paid on completion.
Then what is the journal entry at this point: After completion of the dog park contract with Sony, the Company bills Sony for 15k , less the 1k deposit. A journal entry is necessary to account for the 1k deposit on Nov.3.