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On February 10, Benson Furniture, a fine furniture retailer, purchased $25,000 of inventory on account from a supplier, which Benson plans to resell to customers.
On February 10, Benson Furniture, a fine furniture retailer, purchased $25,000 of inventory on account from a supplier, which Benson plans to resell to customers. On February 20, Benson sold the inventory on credit to customers for $35,000. The Benson accountant needs to make two journal entries for the February 20 transaction. In the first entry, ________ is debited, and in the second entry ________ is debited. Date Account Dr. Cr. 2-20-XX 35,000.00 Sales 35,000.00 Date Account Dr. Cr. 2-20-XX 25,000.00 Sales 25,000.00 Accounts Receivable; Cost of Goods Sold Cost of Goods Sold; Accounts Receivable Accounts Receivable; Accounts Payable Inventory; Cost of Goods Sold
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