The journal entry that records the collection of cash from a customer for payment on account for a sale that was recorded previously includes a debit to:
A)Cash and credit to Accounts Receivable.
B)Accounts Receivable and credit to Cash.
C)Cash and credit to Accounts Payable.
D)Accounts Payable and credit to Cash.

Question

Quizplus · Accepted Answer

The entry includes a debit to Cash (to increase this asset account)and a credit to Accounts Receivable (to decrease this asset account).

The Journal Entry That Records the Collection of Cash from a Customer