Fashion Jewelers uses the perpetual inventory system. On April 2, Fashion sold goods with a cost of $5,500 for $14,000 with terms of 4/15, n/30. On April 4, the customer reported damaged goods and Fashion granted a $2,000 sales allowance. On April 10, Fashion received the payment for the sale. Give the journal entry that will be recorded on April 10 by Fashion.

Your answer:

Cash	12,000
Sales Discount		480
Accounts Receivable		11,520

Cash	12,000
Accounts Receivable		12,000

Accounts Receivable	12,000
Sales		12,000

Cash	11,520
Sales Discount	480
Accounts Receivable		12,000