Jones Company, a Customer, Has Been Authorized to Return $1,000 $\begin{array}{cc}\text { Sales Returns and Allowances } & 1,000 \\\text { Accounts Receivable } & 1,000\end{array}$

question 95

Multiple Choice

Jones Company, a customer, has been authorized to return $1,000 of goods purchased on account. The journal entry to record this transaction is

• A)
• \(\begin{array}{cc}
• \text { Sales Returns and Allowances } & 1,000 \\
• \text { Accounts Receivable } & 1,000
• \end{array}\)
• B)
• Sales \( \quad 1,000 \)
• Sales Returns and Allowances \( \quad 1,000 \)
• C)
• \(\begin{array}{lr}
• \text { Sales Returns and Allowances } & 1,000 \\
• \text { Inventory } & 1,000
• \end{array}\)
• D)
• \(\begin{array}{lll}
• \text { Accounts Receivable } & 1,000 & \\
• \text { Sales Returns and Allowances }
• \end{array} 1,000\)

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Definitions:

SimQuick

A software package for Excel that allows users to simulate business processes quickly and effectively.

Arrival Rate

In queueing theory or logistics, it refers to the average rate at which entities arrive or are processed through a system.

Arrival Rate

The rate at which something occurs or is repeated over a particular period of time.

Service Rate

The speed at which a service provider can complete a service or process an item, often measured in units per time period.