Question
Maxies Game World sold games to a customer on credit for $2,800, terms 1/10, n/30 and the cost of the games was $1,900. When recording
Maxies Game World sold games to a customer on credit for $2,800, terms 1/10, n/30 and the cost of the games was $1,900. When recording the collection from the customer made within the discount period, in its cash receipts journal, Maxies would enter:
Multiple Choice
-
$2,800 in the Cash Dr. column and $2,800 in the Accounts Receivable Cr. column.
-
$2,772 in the Cash Dr. column and $2,772 in the Accounts Receivable Cr. column.
-
$2,772 in the Cash Dr. column, $28 in the Sales Discount Dr. column and $2,800 in the Accounts Receivable Cr. column.
-
$2,800 in the Accounts Receivable Dr./Sales Cr. column and $2,800 in the Cash Cr. column.
-
$2,800 in the Cash Dr. column. $1,900 in the Sales Cr. column, and $1,900 in the Cost of Goods Sold Dr./Inventory Cr. column.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started