The Collection of a $2,000 Account Within the 2 Percent

question 5

Multiple Choice

The collection of a $2,000 account within the 2 percent discount period will result in a

• A)debit to Sales Discounts for $40.
• B)debit to Accounts Receivable for $1,960.
• C)credit to Cash for $1,960.
• D)credit to Accounts Receivable for $1,960.

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Definitions:

Socially Responsible

Refers to actions and policies of individuals or organizations that consider the well-being and fairness towards society and the environment.

Intuition

An experienced-based way of knowing or reasoning in which the weighing and balancing of evidence are done unconsciously and automatically.

Inspirational Business Name

A creative and motivating name chosen for a business to inspire potential customs and reflect the company's ethos.

Workflow

The sequence of processes through which a piece of work passes from initiation to completion in a business or work environment.