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On March 12, Klein Company, Inc

Question 85

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On March 12, Klein Company, Inc. sold merchandise in the amount of $9,800 to Babson Company, with credit terms of 1/10, n/30. The cost of the items sold is $5,500. Klein uses the gross method of accounting for sales and a perpetual inventory system. Babson pays the invoice on March 17, and takes the appropriate discount. The journal entry that Klein makes on March 17 is:


A) On March 12, Klein Company, Inc. sold merchandise in the amount of $9,800 to Babson Company, with credit terms of 1/10, n/30. The cost of the items sold is $5,500. Klein uses the gross method of accounting for sales and a perpetual inventory system. Babson pays the invoice on March 17, and takes the appropriate discount. The journal entry that Klein makes on March 17 is: A) B) C) D) E)
B) On March 12, Klein Company, Inc. sold merchandise in the amount of $9,800 to Babson Company, with credit terms of 1/10, n/30. The cost of the items sold is $5,500. Klein uses the gross method of accounting for sales and a perpetual inventory system. Babson pays the invoice on March 17, and takes the appropriate discount. The journal entry that Klein makes on March 17 is: A) B) C) D) E)
C) On March 12, Klein Company, Inc. sold merchandise in the amount of $9,800 to Babson Company, with credit terms of 1/10, n/30. The cost of the items sold is $5,500. Klein uses the gross method of accounting for sales and a perpetual inventory system. Babson pays the invoice on March 17, and takes the appropriate discount. The journal entry that Klein makes on March 17 is: A) B) C) D) E)
D) On March 12, Klein Company, Inc. sold merchandise in the amount of $9,800 to Babson Company, with credit terms of 1/10, n/30. The cost of the items sold is $5,500. Klein uses the gross method of accounting for sales and a perpetual inventory system. Babson pays the invoice on March 17, and takes the appropriate discount. The journal entry that Klein makes on March 17 is: A) B) C) D) E)
E) On March 12, Klein Company, Inc. sold merchandise in the amount of $9,800 to Babson Company, with credit terms of 1/10, n/30. The cost of the items sold is $5,500. Klein uses the gross method of accounting for sales and a perpetual inventory system. Babson pays the invoice on March 17, and takes the appropriate discount. The journal entry that Klein makes on March 17 is: A) B) C) D) E)

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