Question

Partially correct answer. Your answer is partially correct. Try again. On January 10, 2019, Sheffield Corp. sold merchandise on account to Concord Co. for $21,600, n/30. On February 9, Concord Co. gave Sheffield Corp. a 12% promissory note in settlement of this account. Prepare the journal entry to record the sale and the settlement of the account receivable. (Omit cost of goods sold entries.) (

Answer 1

Dr Accounts receivable $21,600

Cr Sales revenue $21,600

Dr Notes receivable $21,600

Cr Accounts receivable $21,600

Step-by-step explanation:

Preparation of the journal entry to record the sale and the settlement of the account receivable

Dr Accounts receivable $21,600

Cr Sales revenue $21,600

(Being to record Sales revenue)

Dr Notes receivable $21,600

Cr Accounts receivable $21,600

(Being to record settlement of the account receivable)