13) On November 10 of the current year, Cherokee Industries sold materials to a customer for $8,000 with credit terms 2/10, n/30. Cherokee uses the net method of accounting for cash discounts. What entry would Cherokee make on December 10, assuming the correct payment was received on that date? A) Cash 8,000 Accounts receivable 7,840 Discounts revenue T T 160) B) 8.000 Cash Accounts receivable 7,840 160 Sales discounts forfeited Cash 8,160 Accounts receivable 1 8,000 160 Sales discounts forfeited Cash 8,000 Accounts receivable 8,000 14. Cash that is restricted and not available for current operations is reported in the balance sheet as: A) Equity B) Investments C) Liabilities D) A separate section between liabilities and equity 15) Rusty Hardware makes only cash sales. It began 2018 with a credit balance of $32,000 in the refund liability account. Sales during 2018 were $600,000. Rusty estimates that 6% of all sales will be returned. During 2018, customers returned merchandise for credit of $28,000 to their accounts. What is the balance in the allowance for sales returns account at the end of 2018? A) $32,000. B) $39,000. C) $43,000. D) $40,000