A Supplier Sold Inventory to XYZ Pty Ltd Valued at $8500.XYZ

Multiple Choice

A supplier sold inventory to XYZ Pty Ltd valued at $8500.XYZ Pty Ltd paid cash of $2000 and received 30 days credit for the balance owing.The debit and credit entries for XYZ Pty Ltd are:

A) Debit cash $2000;Credit accounts receivable $6500;Credit sales $8500
B) Debit cash $2000,Debit accounts receivable $6500;Credit inventory $8500
C) Debit accounts payable $6500,Debit cash $2000;Credit inventory $8500
D) Debit inventory $8500;Credit accounts payable $6500,Credit cash $2000