Accompanying the Bank Statement Was a Credit Memo for a Short-Term

Multiple Choice

Accompanying the bank statement was a credit memo for a short-term note collected by the bank for the customer. What entry is required in the company's accounts?

A) debit Notes Receivable; credit Cash
B) debit Cash; credit Miscellaneous Income
C) debit Cash; credit Notes Receivable
D) debit Accounts Receivable; credit Cash