Which of the following is an advantage of using the net price method for recording cash discounts on credit sales? a. It eases communication with customers at balances. b. It properly reflects current per revenue. c. It simplifies recording of sales returns and allowances. d. It requires less recording keeping than the gross method.

College Accounting (Book Only): A Career Approach
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Chapter9: Sales And Purchases
Section: Chapter Questions
Problem 1QY: Which of the following is true about the Sales Returns and Allowances account? a. It is used to...
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Which of the following is an advantage of using the net price method for recording cash discounts on credit sales?

a. It eases communication with customers at balances.

b. It properly reflects current per revenue.

c. It simplifies recording of sales returns and allowances.

d. It requires less recording keeping than the gross method.

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