On February 3, Smart Company sold merchandise in the amount of $2,400 to Truman Company, with credit terms of 1/10, n/30. The cost of the iter sold is $1,650. Smart uses the perpetual inventory system and the gross method. Truman pays the invoice on February 8, and takes the appropriat discount. The journal entry that Smart makes on February 8 is: Multiple Choice Cash 1,650 Accounts receivable 1,650

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Tviuiipie CTUILE
Cash
1,650
Accounts receivable
1,650
Cash
2,400
Accounts receivable
2,400
Cash
2,320
Sales discounts
17
Accounts receivable
2,337
Cash
1,570
Accounts receivable
1,570
Cash
2,376
24
Sales discounts
Accounts receivable
2,400
Transcribed Image Text:Tviuiipie CTUILE Cash 1,650 Accounts receivable 1,650 Cash 2,400 Accounts receivable 2,400 Cash 2,320 Sales discounts 17 Accounts receivable 2,337 Cash 1,570 Accounts receivable 1,570 Cash 2,376 24 Sales discounts Accounts receivable 2,400
On February 3, Smart Company sold merchandise in the amount of $2,400 to Truman Company, with credit terms of 1/10, n/30. The cost of the items
sold is $1,65O. Smart uses the perpetualinventory system and the gross method. Truman pays the invoice on February 8, and takes the appropriate
discount. The journal entry that Smart makes on February 8 is:
Multiple Choice
Cash
1,650
Accounts receivable
1,650
Cash
2,400
Accounts receivable
2,400
Cash
2,320
Sales discounts
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Transcribed Image Text:On February 3, Smart Company sold merchandise in the amount of $2,400 to Truman Company, with credit terms of 1/10, n/30. The cost of the items sold is $1,65O. Smart uses the perpetualinventory system and the gross method. Truman pays the invoice on February 8, and takes the appropriate discount. The journal entry that Smart makes on February 8 is: Multiple Choice Cash 1,650 Accounts receivable 1,650 Cash 2,400 Accounts receivable 2,400 Cash 2,320 Sales discounts < Prev 2 of 10 Next > pe here to search 5:00 PM 6% 3/7/2022
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