On February 3, Smart Company sold merchandise in the amount of $4,200 to Truman Company, with credit terms of 1/10, n/30. The cost of the items sold is $2,900. Smart uses the perpetual inventory system. Truman pays the invoice on February 8, and takes the appropriate discount. The journal entry that Smart makes on February 8 is:

a.

Cash	2,900
Accounts receivable		2,900

b.

Cash	4,200
Accounts receivable		4,200

c.

Cash	4,120
Sales discounts	80
Accounts receivable		4,200

d.

Cash	2,820
Accounts receivable		2,820