When a sale is made to a customer who pays with a check, the company records:
A. A debit to Accounts Payable.
B. A debit to Cash.
C. A debit to Accounts Receivable.
D. No entry until the check clears the bank.
Answer: B
You might also like to view...
Which of the following sentences best displays the "you" attitude?
A) As soon as you tell us the size you want, we can ship your order. B) What size do you need? C) We can't process your order without knowing the size. D) You didn't indicate a size so we can't process the order until you do. E) Please fill out the enclosed card indicating color and size, and your order will ship immediately.
The following data exist for Conner Company: 2010 2009 Accounts Receivable $ 80,000 $ 90,000 Sales 510,000 410,500 Calculate the receivable turnover and the average days' sales uncollected for 2010 . Round answers to one decimal place
How does activity flexible budgeting differ from functional-based flexible budgeting?
The trial balance for a merchandiser is as follows. A physical count of inventory at the end of the accounting year reveals $28,000 of inventory on hand. (Assume a perpetual inventory system
) Debit Credit Cash $12,600 Accounts Receivable 2,400 Prepaid Rent 800 Merchandise Inventory 30,000 Accounts Payable $4,200 Salaries Payable 1,000 Notes Payable 800 Common Stock 10,000 Retained Earnings 3,800 Dividends 1,000 Sales Revenue 96,000 Sales Returns and Allowances 1,600 Sales Discounts 400 Cost of Goods Sold 23,000 Salaries Expense 21,000 Rent Expense 14,000 Selling Expense 8,500 Supplies Expense 500 ________ Total $115,800 $115,800 Give journal entry to record the inventory shrinkage, and the entries to close the Sales Revenue account, the expense accounts and contra revenue accounts with a debit balance, and the the Income Summary account and the Dividends account. What will be an ideal response