Nash's Trading Post, LLC sells merchandise on account for $1200 to with credit terms of 2/7, n/30. Pina Colada Corp. returns $500 of merchandise that was damaged, along with a check to settle the account within the discount period. What entry does Nash's Trading Post, LLC make upon receipt of the check?

Cash700

Accounts Receivable700

Cash686

Sales Returns and Allowances 514

Accounts Receivable1200

Cash686

Sales Returns and Allowances 500

Sales Discounts 14

Accounts Receivable1200

Cash1176

Sales Discounts 24

Sales Returns and Allowances 500

Accounts Receivable700