Ganes Computing Sold $70,000 of Inventory on Account to Markel $\begin{array} { l l l } \text { Cash } & \$ 2,000 & \\\quad\text { Accounts Receivable } & &\$ 2,000 \\\end{array}$

question 8

Multiple Choice

Ganes Computing sold $70,000 of inventory on account to Markel Company on April 1,20X3.The company uses a periodic inventory system.Markel Company returned $2,000 of the inventory on April 20,20X3 because it did not fit the company's needs.Which of the following is the journal entry to be made by Ganes Computing for the return of inventory?

• A)\(\begin{array} { l l l }
• \text { Cash } & \$ 2,000 & \\
• \quad\text { Accounts Receivable } & &\$ 2,000 \\
• \end{array}\)
• B)\(\begin{array}{lccc}
• \text { Accounts Receivable } & \$ 2,000 & \\
• \quad\text { Revenue } & &\$ 2,000 & \\
• \end{array}\)
• C)\(\begin{array}{lccc}
• \text { Revenue } & \$ 2,000 \\
• \quad\text { Accounts Receivable } && \$ 2,000 & \\
• \end{array}\)
• D)\(\begin{array}{lccc}
• \text { Revenue } & \$ 2,000 \\
• \quad \text { Sales Returns and Allowances } & &\$ 2,000 & \\
• \end{array}\)
• E)\(\begin{array}{lccc}
• \text { Sales Returns and Allowances } & \$ 2,000\\
• \quad\text { Accounts Receivable } & &\$ 2,000 \\
• \end{array}\)

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Definitions:

Transcription

Process in which enzymes use DNA as a template to assemble RNA. Part of gene expression.

Complementary

Pertaining to two or more components, elements, or sequences that match or enhance each other's properties or functions.

Codon

In an mRNA, a nucleotide base triplet that codes for an amino acid or stop signal during translation.

Nucleotide Bases

Organic molecules that serve as the building blocks of nucleic acids like DNA and RNA, consisting of adenine, thymine, cytosine, guanine, and uracil in RNA.