in year 1 a company earned $100000 in revenue all of whch resulted from credit sales to its customers. of that amount $85000 had been paid by those customers. in year 1, the same company inccured expenses of 80000 of that amount , only $68000 had actually been paid in cash by years end

30513/513 Amarillo Company experienced the following events during its first accounting period. (1 Purchased $5,000 of inventory on account. (2) Returned $50 of the inventory purchased in Event 1 (3) Sold the inventory for $6,000 cash. Based on this information, which of the following shows how he recognition of the return will affect the Compar Multiple Choice Balance Sheet Liab. + Income Statement Tet Statement Cash Flou Assets Exp