A Company Sold Merchandise for $350 That Cost $221

question 142

Multiple Choice

A company sold merchandise for $350 that cost $221.The entry to record the cost of the merchandise sold would be a:

• A) debit to Sales and a credit to Cash for $350.
• B) debit to Cash and a credit to Sales for $350.
• C) debit to Cost of goods sold and a credit to Inventory for $221.
• D) debit to Inventory for $221 and a credit to Cost of goods sold for $221.

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Definitions:

Psychosexual Stages

A theory proposed by Freud describing how personality develops through five stages (oral, anal, phallic, latency, genital) centered on erogenous zones.

Phallic

Relating to or resembling the penis, often used in the context of Freudian psychoanalysis to describe a stage of human development.

Genital

Pertaining to the external and internal organs of reproduction in both males and females.

Defense Mechanism

Psychological strategies brought into play by individuals, groups, or even nations to cope with reality and to maintain self-image.