Office supplies were sold by Janer's Cleaning Service at cost to another repair shop, with cash received. Which of the following entries for Janer's Cleaning Service records this transaction?

Question

Quizplus · Accepted Answer

The transaction involves the sale of office supplies by Janer's Cleaning Service at cost to another repair shop in exchange for cash. This means that Janer's Cleaning Service received cash and gave up the office supplies, and so cash should be debited and office supplies should be credited. Therefore, the correct entry is Cash, debit; Office Supplies, credit (choice C). Choices A, B, and D all involve incorrect accounts and/or debits/credits.

Office Supplies Were Sold by Janer's Cleaning Service at Cost