1 On 7/1/20, ABC sold $23,500 of inventory items on credit with the terms 2/10, net 30. Payment on $20,000 sales was received on 7/9/20 and the remaining payment was received on 7/14/20. Assuming ABC uses the gross method of accounting for sales discounts, what journal entry would be made on August 9 to record the cash received?

2 At the end of 2019, ABC had accounts receivable of $100,000 and an allowance for sales returns and allowances of $1,000. If, in May, ABC grants customer D an allowance of $500 because the customer does not like the product, what journal entry should be made? HTML EditorKeyboard Shortcuts