Learning Lab Inc. sells educational software costing $150 for $500 on account. What journal entry does the company record for this transaction? Include all parts of the journal entry in your answer. Learning Lab Inc. sells educational software costing $150 for $500 on account. What journal entry does the company record for this transaction? Include all parts of the journal entry in your answer.

Debit gross profit $350

Credit inventory $150

Credit cash $500

Debit cash $500

Debit Inventory $150

Debit accounts receivable $500

Credit accounts receivable $500

Credit revenue $500

Credit gross profit $350

Debit revenue $500

Credit cost of goods sold $150

Debit cost of goods sold $150