Materials Handling Company Sold Merchandise Inventory Costing $7,000 for $12,000

Multiple Choice

Materials Handling Company sold merchandise inventory costing $7,000 for $12,000 in cash.How should Materials Handling Company record this transaction?

A) debit Cash for $12,000,credit Sales for $7,000,and credit Merchandise Inventory for $7,000
B) debit Cash for $12,000,debit Cost of Goods Sold for $7,000,credit Sales for $12,000,and credit Merchandise Inventory for $7,000
C) debit Cash for $12,000,debit Merchandise Inventory for $7,000,credit Sales for $12,000,and credit Cost of Goods Sold for $7,000
D) debit Sales for $12,000,debit Merchandise Inventory for $7,000,credit Cash for $12,000,and credit Cost of Goods Sold for $7,000
E) debit Sales for $12,000,debit Cost of Goods Sold for $7,000,credit Cash for $12,000,and credit Merchandise Inventory for $7,000