If the receivable for a student is $8,000 and the student pays only $500 as the result of receiving an athletic scholarship from the school,what would be the appropriate debits

Question

Quizplus · Accepted Answer

A tuition discount is given to the student who has received an athletic scholarship, which is a reduction in the amount of tuition owed to the school. Therefore, the appropriate debits would be to Cash (for the $500 received) and to Tuition Discount on Accounts Receivable (for the remaining $7,500 that the student has not paid due to the scholarship).

If the Receivable for a Student Is $8,000 and the Student