Sylvia owns her own business, preparing accounts to 31 December each year.

In the year to 31 December 1999 she sold goods to one of her regular customers for £2,800. She would normally have sold these goods for £3,000.

Another customer who owed her £1,078 paid very quickly and therefore she accepted £1,000 in full satisfaction of the debt.

Required:

Explain how these transactions would be reflected in Sylvia's accounts for the year to 31 December 1999.