On March 17, Costco sold $98,000 of merchandise on credit; The merchandise has a cost basis to Costco of $89,000. What are journal entries?

• A. Dr. Accounts payable 89,000; Cr. Cash 89,000
• B. Dr. Cash 98,000; Cr. Sales 98,000 & Dr. Cost of goods sold 98,000; Cr. Cash 89,000
• C. Dr. Sales 98,000; Cr. Accounts receivable 98,000 & Dr. Accounts payable 89,000; Cr. Cash 89,000
• D. None of the choices is correct.
• E. Dr. Accounts receivable 98,000; Cr. Sales 98,000 & Dr. Cost of goods sold 89,000; Cr. Inventory 89,000