Oswego Clay Pipe Company sold $46,500 of pipe to Southeast Water District #45 on April 12 of the current year with terms 2/15, n/60. Oswego uses the gross method of accounting for cash discounts.

What entry would Oswego make on April 12?

Multiple Choice

• Accounts receivable45,570Sales discounts930Sales46,500
• Accounts receivable46,500Sales46,500
• Accounts receivable46,500Sales45,570Sales discounts930
• Accounts receivable45,570Sales45,570