Company B sold merchandise for $$1,000$ cash. How does this transaction affect the company's balance sheet and income statement?

A$)$ Increase in Cash and Increase in Revenue on the Income Statement

B$)$ Decrease in Cash and Decrease in Revenue on the Income Statement

C$)$ Increase in Cash and Increase in Accounts Receivable on the Balance Sheet

D$)$ Increase in Cash and Increase in Inventory on the Balance Sheet