Wyman Corporation uses a process costing system. The company manufactured certain goods at a cost of $800 and sold them on credit to Percy Corporation for $1,075. The complete journal entry to be made by Wyman at the time of this sale is:
A. Debit Accounts Receivable $1,075; credit Sales $1,075; debit Cost of Goods Sold $800; credit Finished Goods Inventory $800.
B. Debit Accounts Receivable $1,075; credit Sales $275; credit Finished Goods Inventory $800.
C. Debit Finished Goods Inventory $800; debit Sales $1,075; credit Accounts Receivable $1,075; credit Cost of Goods Sold $800.
D. Debit Accounts Receivable $1,075; debit Selling expense $800; credit Sales $1,075; credit Cost of Goods Sold $800.
E. Debit Cost of Goods Sold $1,075; credit Sales $1,075.
Answer: A
You might also like to view...
The first step in the strategic brand management process is ________
A) measuring consumer brand loyalty B) identifying and establishing brand positioning C) planning and implementing brand marketing D) measuring and interpreting brand performance E) growing and sustaining brand value
"At Trader Joe's, our mission is to provide all our customers the best food and beverage values to be found anywhere, and the information to make informed buying decisions." This is a product-oriented business definition
Indicate whether the statement is true or false
The expected completion time and variance of an activity is approximated by the normal distribution in a PERT analysis
Indicate whether the statement is true or false
If a question arises over a trade usage, the CISG provides that: A) no reference to trade usage is allowed by a court
B) a court can look at those trade usages that the parties knew or ought to have known and are regularly used in the industry. C) a court can look at those trade usages to which the parties agree to be bound. D) both B and C.