When a sale is made to a customer who pays with a check,the company records:
A)A debit to Cash.
B)A debit to Accounts Payable.
C)A debit to Accounts Receivable.

Question

Quizplus · Accepted Answer

When a customer pays with a check, the company receives cash, so a debit is made to the Cash account. Accounts Payable is a liability account that reflects the company's obligation to pay its vendors, so it wouldn't be impacted by a customer's check payment. Accounts Receivable would only be impacted if the company was receiving a check from a customer who owed them money, not if they were making a sale to a customer.

When a Sale Is Made to a Customer Who Pays