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Question - Pattie's Event Planning Service collects the fees from its customers in advance. At January 1, 2019, the balance of the unearned revenue account was a credit of $4,000. During January and February, the company collected $2,000 and $1,000 respectively. During the two-month period, the company rendered services of $5,500. At the end of February, find the unadjusted trial balance will show what balance in unearned revenues?
1. Debit balance of $7,000
2. Debit balance of $1,500
3. Credit balance of $1,500
4. Credit balance of $7,000
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