On July 1,Darin Company sold inventory costing $4,500 to Dee Company for $6,000,terms 2/10,n/30.Both companies use the perpetual inventory system.Dee Company pays the invoice on July 8 and takes the appropriate discount.What journal entry will be recorded by Dee Company on July 8?
A) Debit Accounts Payable and credit Cash for $6,000
B) Debit Accounts Payable for $5,880, credit Inventory for $120, and credit Cash for $6,000
C) Debit Accounts Payable for $6,000, credit Cash for $5,880, and credit Inventory for $120
D) Debit Cost of Goods Sold and credit Cash for $4,500
Correct Answer:
Verified
Q83: Alpha Company bought inventory from Omega Company,FOB
Q85: If merchandise costing $500 is sold on
Q87: Bottom,Inc.paid an invoice for $1,000,with discount terms
Q87: The journal entry to record taking a
Q89: The journal entry to record taking a
Q90: A company using a perpetual inventory system
Q91: The journal entry to record the payment
Q92: A sale is recorded when goods leave
Q96: Which of the following costs should be
Q97: Inventory cost consists of purchase price:
A)plus freight-in.
B)plus
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