wexim toys sold merchandise to a customer on credit, terms 2/10, n/30 for $10,700. three days later, the customer returned $1,800 of the merchandise. when recording the return transaction, wexim toys would record:

A journal entry is a record of a financial transaction made by a company and kept in its accounting records. A business's transactions are tracked in a journal, which also shows the debit and credit balances. These particular entries can aid in the authentication of transactions and make it easier to determine whether they are backed by bills.

The correct journal entry for Wexim is -

Sales Returns and Allowances A/c Dr. 1800

To Accounts Receivable A/c 1800

( Being the return of items)

Accounts receivables are debited and sales are credited when things are sold on credit. When items are returned, the accounts receivable account is credited and the sales return and allowances account is debited.