Calculator Dollar Town Dollar Town is a merchandising company that uses the periodic inventory system. Selected account balances are listed below: Sales Purchases Beginning Inventory Ending Inventory Purchase Returns and Allowances Purchase Discounts Transportation in Sales Discounts Sales Returns and Allowances $105,000 54,000 13,800 10,200 1,800 4,200 2,400 4,800 3,000 Refer to the information provided for Dollar Town. Calculate net sales. a $105,000 b. $102,000 c. $100,200 8. 597,200 Calculator What is the distinguishing characteristic between accounts receivable and notes receivable? a. Accounts receivable require payment of interest while notes receivable does not have payment of interest. b. Notes receivable generally specify an interest rate and a maturity date at which any interest and principle must be repaid. c. Accounts receivable are usually current assets while notes receivable are usually long-term assets. d. Notes receivable result from credit sale transactions for merchandising companies, while accounts receivable result from credit sale transactions for service companies. Previous Next