easy · Financial Accounting assets
A firm sells $30,000 of merchandise on credit with a Cost of Goods Sold (COGS) of $18,000.
Which pair of entries correctly reflects this transaction?
- Dr. Accounts Receivable $30,000, Cr. Sales Revenue $30,000; Dr. Inventory $18,000, Cr. COGS $18,000
- Dr. Cash $30,000, Cr. Sales Revenue $30,000; Dr. COGS $18,000, Cr. Inventory $18,000
- Dr. Accounts Receivable $12,000, Cr. Sales Revenue $12,000
- Dr. Accounts Receivable $30,000, Cr. Sales Revenue $30,000; Dr. COGS $18,000, Cr. Inventory $18,000
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