Bonita Industries Purchased $5,000 of Merchandise on Account for Resale

Multiple Choice

Bonita Industries purchased $5,000 of merchandise on account for resale purposes.Bonita plans to sell the merchandise for $7,500.If Bonita returned $1,000 of merchandise for credit,the journal entry to record the return would include a:

A) debit to Accounts Payable for $1,000
B) credit to Inventory for $1,500
C) debit to Sales for $1,500
D) credit to Cash for $1,000