Giorgio Italian Market bought $4,000 worth of merchandise from Food Suppliers and signed a 90-day, 6% promissory note for the $4,000. Food Supplier's journal entry to record the sales transaction is:
A. Debit Accounts Receivable $4,000; credit Sales $4,000
B. Debit Notes Receivable $4,060; credit Sales $4,060
C. Debit Notes Receivable $4,000; credit Sales $4,000
D. Debit Accounts Receivable $4,060; credit Sales $4,060
E. Debit Notes Receivable $4,000; debit Interest Receivable $60; credit Sales $4,060
Answer: C
You might also like to view...
Which contractual system is distinguished by the fact that it is normally based on some unique product or service; method of doing business; or trade name, goodwill, or patent that has been developed?
A) voluntary chain B) retailer cooperative C) franchise D) corporate chain E) warehouse club
If the standard deviation of the population is not known, ______ as a measure of dispersion.
A. we can take an educated guess B. we can use the range value (the difference between the maximum and minimum values) C. we can use the variance D. we can use the mean plus or minus three standard deviations
What term applies to categories of question alternatives that are independent of each other?
A) hypothetical B) exhaustive C) mutually exclusive D) paired E) overlapping
What is the reorder point for Kushie's if they reorder a quantity twice as high as their EOQ?
Kushie's Coffee in Bangalore is a quaint establishment nestled near MG Road in the central business district. It serves coffee and fruit cake to a clientele that has been enjoying these products for over fifty years. The demand for coffee beans is 6600 cases per year (each case has 24 ten-pound bags). It would be disastrous for them to run out of coffee, so they keep a safety stock of 30 cases. The cases cost $4800 and it costs $5 per case to order coffee. As coffee is a perishable product, the holding cost is fairly high at $40/case/year. The lead time to receive an order is seven days. Kushie's is open 300 days a year.