Question

On October 4, 2018, Sheffield Corporation had credit sales transactions of $5400 from merchandise having cost $2800. The entries to record the day's credit transactions include a debit of $5400 to Inventory. credit of $2800 to Cost of Goods Sold. credit of $5400 to Sales Revenue. debit of $2800 to Inventory.

Answer 1

Cost of goods sold = $5,400

Sales on credit = $2,800

Date General Journal Debit Credit

Oct. 4 Accounts receivable $5,400

Sales revenue $5,400

(To record sales on credit)

Date General Journal Debit Credit

Oct 4 Cost of goods sold $2,800

Inventory $2,800

(To record cost of goods sold)