A Company Sold Merchandise for $24,000 on Account with Terms

question 85

Multiple Choice

A company sold merchandise for $24,000 on account with terms of 5/15,n/30.The company uses a perpetual inventory system.After two days,it received defective merchandise worth $4,000.The journal entry to record the cash receipt for the sale if the payment is received within 10 days of the invoice date would include ________.

• A)a debit to Cash for $20,000,a credit to Merchandise Inventory for $1,000,and a credit to Sales Revenue for $19,000
• B)a debit to Cash for $19,000,a debit to Sales Discount for $1,000,and a credit to Accounts Receivable for $20,000
• C)a debit to Cash for $20,000,a debit to Merchandise Inventory for $4,000,and a credit to Accounts Receivable for $24,000
• D)a debit to Sales Revenue for $24,000,a credit to Accounts Receivable for $20,000,and a credit to Sales Discounts for $4,000

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Definitions:

Impending Occurrence

An event that is about to happen or is likely to happen shortly.

Unconditioned Stimulus

In classical conditioning, a stimulus that naturally and automatically triggers a response without needing to be learned.

Biologically Adaptive

Traits or behaviors that increase the survival or reproductive success of organisms within their environmental context.

Predicts

Refers to the act of forecasting future events or outcomes based on patterns or data analysis.