Chandler Company sold merchandise on credit to Jamie Morgan for $700 and the cost of the merchandise was $290. Chandler would record this sale in the:

Question

Quizplus · Accepted Answer

The sale of merchandise on credit would be recorded in the Sales Journal, which is used to record all credit sales. The Accounts Receivable controlling account would also be affected, but the initial recording would be in the Sales Journal. The General Journal and General Ledger are used for adjusting entries and other types of transactions, not sales. The Cash receipts journal is used to record cash transactions, not credit sales.

Chandler Company Sold Merchandise on Credit to Jamie Morgan for $700