Crystal Credit recently started work with Carcrashian Ltd.It is her first job and she doesn't have a lot of accounting experience.When recording the sales for the day, she debited sales and credited cash.The entry is

A) correct.
B) an error.
C) an irregularity.
D) not necessary.

Question

Harper Bryleigh · Accepted Answer

Final Answer : B, Explanation :  In accounting, recording sales typically involves crediting the sales account and debiting the cash or accounts receivable account, depending on whether the sale was made in cash or on credit. Crystal's entry, which debited sales and credited cash, is incorrect because it reverses the usual accounting treatment for sales transactions.

Crystal Credit recently started work with Carcrashian Ltd.It is her first job and she doesn't have a lot of accounting experience.When recording the sales for the day, she debited sales and credited cash.The entry is

A) correct.
B) an error.
C) an irregularity.
D) not necessary.

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Learning Objectives

Related questions

Crystal Credit recently started work with Carcrashian Ltd.It is her first job and she doesn't have a lot of accounting experience.When recording the sales for the day, she debited sales and credited cash.The entry isA) correct.B) an error.C) an irregularity.D) not necessary.

Definitions

Learning Objectives

Learning Objectives

Related questions

Crystal Credit recently started work with Carcrashian Ltd.It is her first job and she doesn't have a lot of accounting experience.When recording the sales for the day, she debited sales and credited cash.The entry is

A) correct.
B) an error.
C) an irregularity.
D) not necessary.