When ProBuild Company sells three $1,000 gift cards at the beginning of the month,it should record a $3,000 debit to ________ and a $3,000 credit to ________.
A)Cash;Deferred Revenue
B)Cash;Sales Revenue
C)Accounts Receivable;Sales Revenue
D)Deferred Revenue;Cash

Question

Quizplus · Accepted Answer

The entry includes a debit to Cash (to increase this asset account)and credit to Deferred Revenue (to increase this liability account).

When ProBuild Company Sells Three $1,000 Gift Cards at the Beginning