Requirement 1. Record the foregoing transactions in the journal of BoldBold Interiors using the gross method. (You do not need to make the cost of sales journal entries; assume that these entries will be made by the company when it makes its other adjusting entries at period end.) (Record debits first, then credits. Exclude explanations from any journal entries.) MarMar 2: Sold merchandise on account to Toby BothwellToby Bothwell , $ 1 comma 000$1,000 , terms 22 /10, n/30.

Question

Marcos Warner

Business

29 May, 18:01

Requirement 1. Record the foregoing transactions in the journal of BoldBold Interiors using the gross method. (You do not need to make the cost of sales journal entries; assume that these entries will be made by the company when it makes its other adjusting entries at period end.) (Record debits first, then credits. Exclude explanations from any journal entries.) MarMar 2: Sold merchandise on account to Toby BothwellToby Bothwell , $ 1 comma 000$1,000 , terms 22 /10, n/30.

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Answers (1)

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Zane Meyer · Answer 1

account receivables 1,000 debit

sales revenues 1,000 credit

Explanation:

We will recognize the revenue as the sales is performed we can conclude the transfer of goods had occurred so it is correct to recognize revenue.

Because this sales were on account, we have a right to claim the invoice to Mr. Bothwell so we will debit an asset account, which represent this: account receivable