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Luna's Lights has a loyalty points program. Customers earn the equivalent of 1% of their purchase back in points which can be redeemed for discounts
Luna's Lights has a loyalty points program. Customers earn the equivalent of 1% of their purchase back in points which can be redeemed for discounts on future purchases. On February 23, 2022, Rufus purchased a chandelier for $3,000 in cash. Which of the following is the correct journal entry for Luna's Lights to record the sale including the points issued to Rufus? For simplicity, the date, description, and entry to record the cost of goods sold have been excluded from the options below. O A. Cash......... .$3,000 Sales revenue...... Rewards points liability........ O B. Cash....... .$2,970 .$30 $3,000 Sales discount for redemption of rewards points......$30 Sales revenue.......... .$3,000 Rewards points liability................... _ $30 O C. Cash ..$3,000 Sales revenue..... ..$3,000 O D. Cash....... _ $3,000 Sales discount for redemption of rewards points.....$30 Sales revenue.......... ..$3,030 E. Cash......... $3,000 Rewards points liability....... ..$30 Sales revenue........ .$3,000 Sales discount for redemption of rewards points ...$30
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