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CAlifr
Oct 20, 2008, 01:35 AM
Sold to a customer for cash a water heater for $1200. The customer installed the water heater, which is part of inventory, originally cost $500

hamzashakaa
Oct 20, 2008, 03:20 AM
Dr. Cash 1200
Cr. Sales 1200

Dr. Cost of sales
Cr. Inventory

ryan2440
Oct 20, 2008, 08:34 PM
Debit- Cash $1200.00

Credit- Sales $1200.00

rekha12
Jan 31, 2011, 01:17 PM
Cash a/c dr 1200 (Dr what comes in)
To heater a/c 500 (Cr what goes out)
TO income on sale of heater 700 (Cr incomes and gains)

*** correct me

pready
Jan 31, 2011, 03:27 PM
The correct answer is:
Debit Cash for 1200
Credit Sales Reveue for 1200

Debit Cost of Goods Sold for 500
Credit Inventory for 500