A Company Sold Merchandise with a Cost of $238 for $440

question 190

Multiple Choice

A company sold merchandise with a cost of $238 for $440 on account.The seller uses the perpetual inventory system.The entry to record the cost of merchandise sold would include ________.

• A)a debit to Sales Revenue and a credit to Cash for $440
• B)a debit to Cash and a credit to Sales Revenue for $440
• C)a debit to Cost of Goods Sold and a credit to Merchandise Inventory for $238
• D)a debit to Merchandise Inventory for $238 and a credit to Cost of Goods Sold for $238

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Definitions:

Causes

The underlying factors or reasons for an event or situation, often analyzed in problem-solving and decision-making processes.

The Law of Unintended Consequences

The principle that actions, especially those taken on a large scale, can have unanticipated and often undesirable effects.

Uncertainty

The state of having limited knowledge, making it impossible to precisely predict the future or outcomes.

Confidence

Confidence is the belief in one's abilities and qualities, fostering a positive self-perception and courage to face challenges.