Asked by
Yaneli Hernandez
on Dec 17, 2024
Verified
Chico.com sold 65 jet skis on account for $7,700 which cost $5,500. The entry to record the sale would include a:
A) credit to Finished Goods Inventory $5,500.
B) credit to Account Receivable for $7,700.
C) debit to Cost of Goods Sold for $7,700.
D) All of the above
Accounts Receivable
An asset that indicates amounts owed by customers.
Cost of Goods Sold
The direct costs attributable to the production of the goods sold by a company, including the cost of materials and labor.
- Comprehend the computation of cost of goods sold and its dependency on inventory levels.
Verified Answer
GM
Learning Objectives
- Comprehend the computation of cost of goods sold and its dependency on inventory levels.