Author Question: On June 8, 2011, T's, Inc. sold merchandise for 3,000 on account. The merchandise originally cost ... (Read 321 times)

rlane42 · **on:** Jul 5, 2018

On June 8, 2011, T's, Inc. sold merchandise for 3,000 on account. The merchandise originally cost T's, Inc. 2,000. Record (a) the sale and (b) the cost of the sale in the T-accounts below.

What will be an ideal response?

Question 2

(Appendix) Business transactions can be classified as
a. operating, investing, and accounting.
b. operating, financing, and lending.
c. operating, investing, and financing.
d. operating, lending, and borrowing.

firehawk60 · **Reply #1 on:** Jul 5, 2018

Answer to Question 1

Accounts receivable
(a) 3,000

Inventory
2,000(b)

Sales (revenue)
3,000(a)

Cost of Goods Sold
(b) 2,000

Answer to Question 2

c