On February $3,$ Smart Company sold merchandise in the amount of $$4,600$ to Kennedy Company, with credit terms of $\frac{3}{10},\frac{n}{30}.$ The cost of the items sold is $$3,175.$ Smart uses the perpetual inventory system and the gross method. Kennedy pays the invoice on February $8$ and takes the appropriate discount. The journal entry that Smart makes on February $8$ is:

$01-13-15$

Multiple Choice

$\backslash$table$[[$Account Title,Debit,Credit$],[$Cash$,3,175,],[$Accounts Receivable,,$3,175]]$

$\backslash$table$[[$Account Title,Debit,Credit$],[$Cash$,4,520,],[$Sales discounts,$95,],[$Accounts Receivable,,$4,615]]$