College

We appreciate your visit to Cumberland Co sells 1 114 of merchandise to Hancock Co for cash Cumberland paid 779 for the merchandise Under a perpetual inventory system which of. This page offers clear insights and highlights the essential aspects of the topic. Our goal is to provide a helpful and engaging learning experience. Explore the content and find the answers you need!

Cumberland Co. sells $1,114 of merchandise to Hancock Co. for cash. Cumberland paid $779 for the merchandise. Under a perpetual inventory system, which of the following is the correct journal entry?

a. Debit Cash, $1,114; credit Merchandise Inventory, $779

b. Debit Cash, $1,114; credit Sales, $1,114 and debit Cost of Merchandise Sold, $779; credit Merchandise Inventory, $779

c. Debit Accounts Receivable, $1,114; credit Sales, $1,114 and debit Cost of Merchandise Sold, $779; credit Merchandise Inventory, $779

d. Debit Cash, $779; credit Sales, $779

Answer :

Answer:

Debit Cash $1,114

Credit Sales $1,114

Debit Cost of merchandise sold $779

Credit Merchandise inventory $779

Explanation:

Based on the information given the correct journal entry(is):

Debit Cash $1,114

Credit Sales $1,114

Debit Cost of merchandise sold $779

Credit Merchandise inventory $779

Thanks for taking the time to read Cumberland Co sells 1 114 of merchandise to Hancock Co for cash Cumberland paid 779 for the merchandise Under a perpetual inventory system which of. We hope the insights shared have been valuable and enhanced your understanding of the topic. Don�t hesitate to browse our website for more informative and engaging content!

Rewritten by : Barada