The Journal Entry to Record the Purchase on Account of $900

question 25

Multiple Choice

The journal entry to record the purchase on account of $900 of merchandise with freight of $65 prepaid by their supplier and added to the invoice is:

• A)debit Accounts Receivable $965; credit Sales $965
• B)debit Purchases $900, debit Freight In $65; credit Accounts Payable $965
• C)debit Purchases $965; credit Accounts Payable $965
• D)debit Accounts Payable $965, credit Freight in $65; credit Purchases $900

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Definitions:

Glucocorticoids

A class of steroid hormones that regulate metabolism, inflammation, and immune responses in the body.

Epinephrine

Hormone produced by the adrenal medulla; stimulates the sympathetic nervous system.

Mineralocorticoid

A class of steroid hormones that regulate electrolyte balance and blood pressure, primarily produced by the adrenal glands.

Aldosterone

A steroid hormone that regulates salt and water balance in the body, important for blood pressure control.