Which of the Following Statements Correctly Describes the Effect of Recording

question 60

Multiple Choice

Which of the following statements correctly describes the effect of recording the collection of a $10,000 account receivable for which a 2% sales discount was recorded at the time of collection?

• A)Current assets will remain the same.
• B)Gross profit will decrease $200.
• C)Accounts receivable will decrease $9,800.
• D)Net sales will increase $9,800.

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Definitions:

Pronoun

A word used to substitute for a noun or noun phrase, often to avoid repetition and manage coherence; examples include "he," "she," "it," "they."

Trophy

A physical representation, often an ornamental cup or statue, awarded as a prize for achievement in a competition or event.

Pronoun

A grammatical term referring to words that substitute for nouns or noun phrases, facilitating brevity and variety in speech and writing.

Groundlings

In Elizabethan theatre, spectators who stood in the yard of the Globe Theatre, paying the least to see the performance.