18 - The entity made a discount due to the premature payment of the receivable arising from the sale it made on credit. In which account and how should this transaction be recorded? A) Domestic Sales account receivable B) Sales Discounts account receivable C) To the debt of the Domestic Sales account D) To the debt of General Administrative Expenses account E) To the debt of Sales Discounts account
18 - The entity made a discount due to the premature payment of the receivable arising from the sale it made on credit. In which account and how should this transaction be recorded? A) Domestic Sales account receivable B) Sales Discounts account receivable C) To the debt of the Domestic Sales account D) To the debt of General Administrative Expenses account E) To the debt of Sales Discounts account
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter21: Supply Chains And Working Capital Management
Section: Chapter Questions
Problem 3Q: Is it true that, when one firm sells to another on credit, the seller records the transaction as an...
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18 - The entity made a discount due to the premature payment of the receivable arising from the sale it made on credit. In which account and how should this transaction be recorded?
A) Domestic Sales
B) Sales Discounts account receivable
C) To the debt of the Domestic Sales account
D) To the debt of General Administrative Expenses account
E) To the debt of Sales Discounts account
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