The entry to record a $1,500 sale with terms of 2/10,n/30 would include a(n)
A)decrease to Accounts Receivable for $1,500.
B)increase to Sales for $1,500.
C)increase to Sales Discounts for $30.
D)decrease to Sales for $1,470.

Question

Quizplus · Accepted Answer

The entry to record a sale of $1,500 with terms of 2/10, n/30 would be:

Debit Accounts Receivable $1,500
Credit Sales $1,500

There is no immediate effect on Sales Discounts, as the discount is only available if the customer pays within 10 days. Therefore, choice A, C, and D are incorrect.

The Entry to Record a $1,500 Sale with Terms of 2/10,n/30