Jax Recording Studio purchased $7,800 in electronic components from Music World.Jax signed a 60-day,8% promissory note for $7,800.Music World's journal entry to record the sales transaction is:

A) Debit Accounts Receivable $7,800; credit Sales $7,800
B) Debit Accounts Receivable $7,904; credit Sales $7,904
C) Debit Notes Receivable $7,800; credit Sales $7,800
D) Debit Notes Receivable $7,904; credit Sales $7,904
E) Debit Notes Receivable $7,800; debit Interest Receivable $104; credit Sales $7,904

Since Jax Recording Studio signed a 60-day promissory note for $7,800, Music World would record this transaction by debiting Notes Receivable for $7,800 and crediting Sales for $7,800. This is because Music World sold electronic components to Jax Recording Studio and the payment will be received in the future through the promissory note. Option A and B are incorrect because they both suggest that Music World received payment immediately in the form of accounts receivable, which is not the case. Option D is incorrect because it suggests that Music World earned interest on the sale, which is not mentioned in the scenario. Option E is incorrect because it combines two different accounts (Notes Receivable and Interest Receivable) and the interest earned is not provided in the scenario.