High School

We appreciate your visit to Myers Appliances sold a washer dryer for 1 200 with terms calling for a 400 down payment and the balance due in 60 days The. 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!

Myers Appliances sold a washer-dryer for $1,200 with terms calling for a $400 down payment and the balance due in 60 days.

The journal entry to record the sale by Myers would include:

Answer :

Final Answer:

The journal entry to record the sale by Myers would include a debit to Accounts Receivable for $800, a debit to Cash for $400, and a credit to Sales Revenue for $1,200.

Explanation:

In this transaction, Myers Appliances sold a washer-dryer for $1,200 with terms that include a $400 down payment and the balance due in 60 days. To record this sale in their accounting books, Myers would make the following journal entry:

Debit Accounts Receivable: This accounts for the portion of the sale that is on credit, i.e., the $800 balance to be paid in 60 days. Debiting this account increases the amount owed to Myers.

Debit Cash: The $400 down payment received immediately is debited to the Cash account to reflect the increase in cash on hand.

Credit Sales Revenue: This credit entry represents the total sale amount of $1,200. By crediting this account, Myers recognizes the revenue from the sale.

So, this journal entry reflects the dual-entry accounting system, ensuring that the books are balanced. It recognizes the income that Myers has earned from the sale ($1,200) and the amount still to be collected ($800) from the customer within the agreed-upon timeframe.

Learn more about: Sales Revenue

brainly.com/question/28504810

#SPJ11

Thanks for taking the time to read Myers Appliances sold a washer dryer for 1 200 with terms calling for a 400 down payment and the balance due in 60 days The. 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