Exe Ltd sells goods on credit to Wy Ltd for £3000. Which of the following accounting entries correctly records this transaction?

Question

a.	Debit sales, credit Wy Ltd £3000.
b.	Debit Wy Ltd, credit sales £3000.
c.	Debit cash, credit sales £3000.
d.	Debit Wy Ltd, credit stock £3000.

Mohamed Abdul · Answer

the answer is second choice b. Debit Wy Ltd, credit sales £3000

C S Raghunandan Chikkaballapur Rao · Answer

This a case of Credit Sales with a promise to pay the sales consideration on a future date by WY Ltd. Hence he becomes Debtors or Account Receivable. WY Ltd account is to be Debited as he is a debtor and Sales account is to be credited as per the basic principles of accounting With3000 Pounds.

ANSHAD VALLAKKAL · Answer

Option B) Debit Wy Ltd and Credit Sale

NILA REJESH ACA · Answer

B

Amjad Ali · Answer

B

Utilisateur supprimé · Answer

Option b

Hesham ElMosallamy · Answer

Debit Wy Ltd, credit sales £3000

Tanveer Qureshi · Answer

Option b.

Utilisateur supprimé · Answer

Option b

هشام عبدالله خليفه محمد · Answer

b.
Debit Wy Ltd, credit sales £3000.

Utilisateur supprimé · Answer

Answer is B for sure. This transaction will result in an increase of accounts receivable Wy Ltd. (debit) and an increase in sales (credit).

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Exe Ltd sells goods on credit to Wy Ltd for £3000. Which of the following accounting entries correctly records this transaction?

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