Hummel Medical Suppliers offers customers 1/10, n/30 terms to customers. Hummel ships product to Geriatrics Inc. on March 15th in the amount of $800. Geriatrics Inc. settles the bill on March 20th and takes advantage of the payment terms. If Hummel wishes to track all discounts allowed, which journal entry will correctly reflect the payment?

Select one:

a. Dr Cash $792 Cr Accounts Receivable $792

b. Dr Cash $792, Dr Sales Returns & Allowances $8, Cr Accounts Receivable $800

c. Dr Cash $792, Dr Sales $8, Cr Accounts Receivable $800

d. Dr Cash $792, Dr Sales Discount $8, Cr Accounts Receivable $800