Sales Reveiue 6 On November 10 of the current year Flores Mi

Sales Reveiue 6. On November 10 of the current year, Flores Mills provides services to a customer for $8,000 with credit terms 2/10, n/30. The customer made the correct payment on November 17. How would Flores record the collection of cash on November 17 A. Cash 7,840 Accounts Receivable 7.840 B. Cash 7,840 Sales Discounts 160 Accounts Receivable 8,000 ash 7,840 Sales Revenue 160 Accounts Receivable 8,000 Cash 8,000 Accounts Receivable 8,000

Solution

The Answer is “CHOICE B”

Date

Accounts Tittles and Explanations

Debit ($)

Credit ($)

November 17

Cash A/c [ $8,000 – 160]

7,840

Sales Discount A/c   [ $8,000 x 2%]

160

To Accounts Receivable A/c

8,000

[ Being the journal Entry passed to record the receipt of cash received on the serviced provided]

Date	Accounts Tittles and Explanations	Debit ($)	Credit ($)
November 17	Cash A/c [ $8,000 – 160]	7,840
	Sales Discount A/c   [ $8,000 x 2%]	160
	To Accounts Receivable A/c		8,000
	[ Being the journal Entry passed to record the receipt of cash received on the serviced provided]