#13

Landon Jewelers uses the perpetual inventory system on April Landon sold merchandise with a cost of $1,400 for $5,500 to a customer on account with terms of 1/15, 1/30 The journal entry to record the cost of goods sold would be 1,400 1,400 1,400 1,400 O A. Cost of Goods Sold Accounts Receivable OB. Cost of Goods Sold Merchandise Inventory OC Merchandise Inventory Cost of Goods Sold OD. Sales Revenue Cost of Goods Sold 1.400 1.400 1,400 1,400 Complete Electronics Inc. sells a point-of-sale computer with a two-year service contract. Complete collects $3,000 cash for the selling price of the computer and $624 for the two-year service contract. How is revenue recognized? O A. Complete will record Sales Revenue of $3,000 when the computer is delivered and Service Revenue of $26 per month for 24 months B. Complete will record Sales Revenue of $3,624 when the computer is delivered to the customer OC. Complete will record Sales Revenue of $3,000 when the computer is delivered and will record revenue for the service contract as service calls are made D. Complete will record Sales Revenue of $1,812 per year for two years