Asked by Crissy Hogue on May 21, 2024

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If a customer takes a sales discount an entry is made in the

A) cash receipts journal.
B) sales journal.
C) cash payments journal.
D) general journal.

Sales Discount

A reduction given by a seller for prompt payment of a credit sale.

Cash Receipts Journal

A specialized accounting journal used to keep track of all cash inflows or receipts from various sources.

Entry

A record in an account that documents a financial transaction in bookkeeping.

  • Acquire knowledge about the management of sales returns and allowances and how they influence accounts receivable.
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SG
Stefy GilesMay 25, 2024
Final Answer :
A
Explanation :
When a customer takes a sales discount, it means they are paying the invoice before the due date and therefore, the entry should be made in the cash receipts journal.