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Benchmark 4

Test Corrections

QuestionAnswer
15. The Toy Shop sold merchandise to Spirit Church for $41 cash. Journal entry or The Toy Shop? Debit Cash, $41; Credit Sales, $41
19. Sally's Shoes sold merchandise for cash to Happy's Distributing, who later returned the merchandise, for $200, plus sales tax of $15. What is Sally's Shoes Debit Sales Returns and Allowances, $200, Sales Tax Payable, $15; Credit Cash, $215
21. Busters' Department Store sold merchandise to Jake Coble (paying with bank credit card), who later returned the merchandise, for $65, plus sales tax of $4. Debit Sales Returns and Allowances, $65, Sales Tax Payable, $4; Credit Cash, $69
23. Marvin's Motorcycles received $125 cash from Stewart's Rides for payment on account with $25 sales discount for early payment. What is Marvin's Motorcycles' journal entry? Debit Cash, $125, Sales Discount, $25; Credit Accounts Receivable-Stewart's Rides, $150
24. City Observer received $48 cash from Kevin Grayson for payment on account with $2 sales discount for paying early. What is City Observer's journal entry? Debit Cash, $48, Sales Discount, $2; Credit Accounts Receivable-Kevin Grayson, $50
25. City Utilities received $118 cash from Cody Waters for payment on account plus a $3 early payment discount. City Utilities' journal entry is? Debit Cash, $118, Sales Discount, $3; Credit Accounts Receivable-Cody Water, $121
Created by: Tate.cord70
 

 



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