Rockhill Industries Received Payment After the Expiration of the Discount

question 94

Multiple Choice

Rockhill Industries received payment after the expiration of the discount period from a customer who had purchased merchandise on account. The sales invoice was for $3,000, and credit terms were 3/15 n/30. The cost of the merchandise was $1,800. In the cash receipts journal:

• A)$3,000 will appear in the sales revenue credit column.
• B)$3,000 will appear in the accounts receivable debit column.
• C)$3,000 will appear in the accounts receivable credit column.
• D)$90 will appear in the sales discounts debit column.

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Definitions:

Conscious Awareness

The state of being awake and aware of one's surroundings, thoughts, and feelings.

Subconscious

The part of the mind that is not currently in focal awareness but can influence thoughts and behaviors.

Formal Reasoning

The process of following a set of rigorous procedures for reaching logical conclusions.

Dialectical Reasoning

A method of argument for resolving disagreement that involves the exchange of arguments and counter-arguments, aiming to find the truth through reasoned discussion.