Hexa Corporation Sold a Product on Credit for $2,235 to Merin

question 119

Multiple Choice

Hexa Corporation sold a product on credit for $2,235 to Merin. The cost of goods sold was $1,324. Assuming that the firm is following a perpetual inventory system and using a sales journal, it will record $2,235 in the:

• A)Accounts Receivable CR, Sales Revenue DR column.
• B)Cost of Goods Sold DR, Merchandise Inventory CR column.
• C)Merchandise Inventory DR, Cost of Goods Sold CR column.
• D)Accounts Receivable DR, Sales Revenue CR column.

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Definitions:

Intestacy Statutes

Laws that govern the distribution of a person's estate if they die without a valid will, determining how their assets are divided among surviving relatives.

Legally Adopted

Refers to the formal process by which an adult becomes the legal parent of someone who is not their biological child.

Probated

The legal process of proving and registering the last will of a deceased person in court.

Statutory Requirements

Specific obligations or regulations established by law that must be followed.