Question
Fresh Bakery Co. had cash sales of $50 for coffee. The cost of the coffee was $20. In the compound journal entry to record a
Fresh Bakery Co. had cash sales of $50 for coffee. The cost of the coffee was $20. In the compound journal entry to record a sale of merchandise, which of the following would account for the inventory?
a.Dr. COGS 50; Cr. Sales Revenue 50
b. Dr. Sales Revenue 50; Cr. COGS 50
c.Dr. Cash 50; Cr. Sales Revenue 50
d. Dr. COGS 20; Cr. Inventory 20
e. Dr. COGS 50; Cr. Inventory 50
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Understanding Financial Accounting A Guide For Non-specialists
Authors: Jimmy Winfield, Mark Graham, Taryn Miller
1st Edition
0198847270, 9780198847274
