Jax Recording Studio Purchased $7,800 in Electronic Components from Music

question 34

Multiple Choice

Jax Recording Studio purchased $7,800 in electronic components from Music World.Jax signed a 60-day,8% promissory note for $7,800.Music World's journal entry to record the sales transaction is:

• A)Debit Accounts Receivable $7,800;credit Sales $7,800
• B)Debit Accounts Receivable $7,904;credit Sales $7,904
• C)Debit Notes Receivable $7,800;credit Sales $7,800
• D)Debit Notes Receivable $7,904;credit Sales $7,904
• E)Debit Notes Receivable $7,800;debit Interest Receivable $104;credit Sales $7,904

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Definitions:

Portfolio Variances

Measures the dispersion of average returns of a portfolio from its mean, indicating the level of risk involved.

Expected Return

The estimated average return on an investment, accounting for the probabilities of each possible outcome.

Undiversifiable Risk

A type of risk inherent to the entire market or market segment that cannot be mitigated through diversification.

Beta Coefficient

The beta coefficient measures the volatility of an investment in relation to the market as a whole, indicating its relative risk.