Merchandise with a sales price of $5,000 is sold on account with terms 2/10, n/30. The journal entry to record the sale would include a

A) debit to Cash for $5,000
B) debit to Customer Refunds Payable for $100
C) credit to Sales for $4,900
D) debit to Accounts Receivable for $4,880

Terms 2/10

A common payment term indicating that a buyer can take a 2% discount on the invoice amount if paid within 10 days.

Accounts Receivable

Money owed to a business by its clients or customers for goods or services delivered but not yet paid for, typically recorded on the balance sheet.