The collection of accounts receivable is recorded by a:
A)Debit to Cash and a debit to Accounts Receivable.
B)Credit to Cash and a credit to Accounts Receivable.
C)Debit to Cash and a credit to Accounts Receivable.
D)Credit to Cash and a debit to Accounts Receivable.

Question

Quizplus · Accepted Answer

When collecting accounts receivable, cash is received and accounts receivable is decreased (credited) since the amount has been paid. Therefore, the transaction is recorded as a debit to Cash and a credit to Accounts Receivable.

The Collection of Accounts Receivable Is Recorded by A