When the sales journal's column for accounts receivable and sales is totaled at the end of the month, its total is:
A) Debited to Sales and credited to Accounts Receivable.
B) Debited to Accounts Receivable and credited to Cash.
C) Debited to Cash and credited to Accounts Receivable.
D) Debited to Accounts Receivable and credited to Sales.
E) Debited to Cash and credited to Sales.

Question

Quizplus · Accepted Answer

The sales journal's column for accounts receivable and sales represents sales made on credit, which increases the accounts receivable balance. Therefore, the total of this column should be debited to the accounts receivable account and credited to the sales account. Option D is the only choice that reflects this accounting treatment. Option A would be appropriate for a journal entry to record a sale made on credit but not for totaling the sales journal's column. Option B would be appropriate for a journal entry to record a cash sale. Option C and E are not relevant to this situation.

When the Sales Journal's Column for Accounts Receivable and Sales