Collected a payment from a credit customer: This will be recorded with
A) a credit to an asset account.
B) a credit to a liability account.
C) a credit to Capital.
D) None of these are correct.

Question

Quizplus · Accepted Answer

When you collect a payment from a credit customer, you are receiving cash which is an asset. Therefore, you would record this transaction with a credit to the asset account (e.g. Accounts Receivable).

Collected a Payment from a Credit Customer: This Will Be