On February 3, Smart Company sold merchandise in the amount of $4,700 to Truman Company, with credit terms of 2/10, n/30. The cost of the items sold is $3,245. Smart uses the perpetual inventory system and the gross method. Truman pays the invoice on February 8, and takes the appropriate discount. The journal entry that Smart makes on February 8 is:

Multiple Choice

A.

Cash	3,165
Accounts receivable		3,165

B.

Cash	4,606
Sales discounts	94
Accounts receivable		4,700

C.

Cash	4,700
Accounts receivable		4,700

D.

Cash	3,245
Accounts receivable		3,245

E.

Cash	4,620
Sales discounts	65
Accounts receivable		4,685