Asked by Jordan Thornhill on May 16, 2024
Verified
Mullis Company sold merchandise on account to a customer for $625,terms n/30.The journal entry to record this sale transaction would be:
A) Debit Cash of $625 and credit Sales $625.
B) Debit Cash of $625 and credit Accounts Receivable $625.
C) Debit Accounts Receivable $625 and credit Sales $625.
D) Debit Accounts Receivable $625 and credit Cash $625.
E) Debit Sales $625 and credit Accounts Receivable $625.
Merchandise
Goods that are bought and sold in business; the commodities or items that a business trades in.
Journal Entry
A record in the books of accounts that represents a single financial transaction, documented in chronological order and showing the debits and credits for each transaction.
Terms N/30
Payment terms indicating that an invoice must be paid within 30 days of the invoice date.
- Perform journal entries for sales transactions, including those involving credit sales and credit card sales.
Verified Answer
Learning Objectives
- Perform journal entries for sales transactions, including those involving credit sales and credit card sales.
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