When a company collects from a customer who pays within the discount period,the discount:
A)is a reduction in the initial sales revenue.
B)is an addition to the cost of goods sold.
C)is a reduction to the inventory account.
D)is an addition to the sales returns and allowances account.

Question

Quizplus · Accepted Answer

When a company collects from a customer who pays within the discount period,the discount is a reduction in the initial sales price.

When a Company Collects from a Customer Who Pays Within