Oswego Clay Pipe Company sold $46,100 of pipe to Southeast Water District #45 on April 12 of the current year with terms 4/15, n/60. Oswego uses the gross method of accounting for sales discounts.

What entry would Oswego make on April 23, assuming the customer made the correct payment on that date?

Multiple Choice

• Cash44,256Sales discounts1,844Accounts receivable46,100
• Cash46,100Sales discounts1,844Accounts receivable46,100Sales discounts forfeited1,844
• Cash44,256Sales1,844Accounts receivable46,100
• Cash46,100Accounts receivable44,256Sales1,844