Cupcake Corp.has sold goods at terms 1/10, n/30.If the discount is not taken, the amount payable is $8,725.Assuming Cupcake uses the gross method, the entry to record the sale is
A) a debit and credit of $7,852.50 to Accounts Receivable and Sales respectively.
B) a debit and credit of $8,550.50 to Accounts Receivable and Sales respectively.
C) a debit and credit of $8,725 to Accounts Receivable and Sales respectively.
D) debits of $8,550.50 and $49.50 to Accounts Receivable and "Forfeited Sales Discounts" respectively, and a credit to Sales for the total.
Correct Answer:
Verified
Q48: The accounts receivable turnover ratio is calculated
Q52: In preparing its bank reconciliation for the
Q53: Which of the following is NOT a
Q55: Steinert Company has the following items at
Q57: Lebanon Ltd.prepared an aging of its accounts
Q58: The journal entries related to a bank
Q59: During the year, Popsicle Inc., who uses
Q61: On February 1, 2017, Strawberry Corp.factored receivables
Q67: The requirements for presentation and disclosure of
Q76: A Cash Over and Short account is
A)
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents