Received payment, within the discount period, for merchandise sold previously. This will be recorded with
A) a credit to an asset account.
B) a debit to a liability account.
C) a debit to Capital.
D) None of these are correct.

Question

Quizplus · Accepted Answer

Receiving payment within the discount period for merchandise sold previously would increase cash, an asset account, thus requiring a credit to record the increase in assets.

Received Payment, Within the Discount Period, for Merchandise Sold Previously