Answer:
Accounts Receivables 16300 debit
Sales Revenues 16300 credit
--to record purchase--
sales allowance & returns 4800 debit
accounts receivables 4800 credit
--to record sales allowance--
Cash 11270
sales discounts 230
Accounts receivable 11500
--to record collectiong within discount--
Explanation:
W record the sale for the nominal amount.
When the custoemr return goods we use sales allowance and returns and also, we decrease the account of the customer as now their are in debt for a lesser amount.
We calcualte the balance of the account:
16,300 - 4,800 = 11,500
we apply the discount as it is within discount date
11,500 x 2% = 230
last, we determinate the cash collected:
11,200 nominal - 230 discount = 11,270
