What should be the general entries for a revenue which was earned in 2007 but not received till January 2008. Please tell me entries for both year 2007 and 2008. I mean, what entry should I make at the end of 2007 for the income I earned but not received, and what would be the entries for the money I received in January 2008, earned Last year. Thank you.
The dates that you worked are the dates that you made the money so if its money made in 07 even though you may not have been paid yet it is still income of 2007.
2008 is a different tax year.