On May 1, 2020, Zuhoor Muscat Company agreed to provide services for SQU of RO 220,000 over the next 8 months. SQU paid 55% of the amount on August 31, 2020 and will pay the remaining amount during...

On May 1, 2020, Zuhoor Muscat Company agreed to provide services for SQU of RO 220,000 over the next 8 months. SQU paid 55% of the amount on August 31, 2020 and will pay the remaining amount during January 2021. If Zuhoor Muscat Company completed their services on December 31, 2020, the adjusting entry recorded on that date would include: