2 marks each 75 12 (17) Unsure 15 of 24 Unsure Od. Shareholders become temporary creditors...

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2 marks each 75 12 (17) Unsure 15 of 24 Unsure Od. Shareholders become temporary creditors of a corporation (in which they own shares) when that corporation borrows money from a financial institution The Longview Company sold inventory on account for $400. The cost of the inventory sold was $300. A week later, the goods were returned and a full credit was given to the customer. The journal entry or entries made by The Longview Company to record the return of the goods sold should include: O a. A debit to Cash for $400. O b. A debit to Sales for $400 and a debit to Inventory for $300. Oc. A debit to Sales Discounts for $400 and a credit to Accounts Receivable for $400. Od. A debit to Sales Returns and Allowances for $400 and a debit to Inventory for $300. Oe. A debit to Sales Returns and Allowances for $400 and a debit to Cost of Sales for $300. Mas Exam Support 2 marks each 75 12 (17) Unsure 15 of 24 Unsure Od. Shareholders become temporary creditors of a corporation (in which they own shares) when that corporation borrows money from a financial institution The Longview Company sold inventory on account for $400. The cost of the inventory sold was $300. A week later, the goods were returned and a full credit was given to the customer. The journal entry or entries made by The Longview Company to record the return of the goods sold should include: O a. A debit to Cash for $400. O b. A debit to Sales for $400 and a debit to Inventory for $300. Oc. A debit to Sales Discounts for $400 and a credit to Accounts Receivable for $400. Od. A debit to Sales Returns and Allowances for $400 and a debit to Inventory for $300. Oe. A debit to Sales Returns and Allowances for $400 and a debit to Cost of Sales for $300. Mas Exam Support