A company that uses the perpetual inventory system sold goods to a customer for cash for $4,600. The cost of the goods sold was $1,000. Which of the following journal entries correctly records this transaction? A. Accounts Receivable 4,600 Cash 4,600 Cost of Goods Sold 1,000 Merchandise Inventory 1,000 B. Cash 4,600 Sales Revenue 4,600 Cost of Goods Sold 1,000 Merchandise Inventory 1,000 C. Merchandise Inventory 4,600 Sales Revenue 4,600 D. Cost of Goods Sold 4,600 Sales Revenue

B. Cash 4,600 Sales Revenue 4,600 Cost of Goods Sold 1,000 Merchandise Inventory 1,000

Explanation:

The journal entry is as follows

Cash                           $4,600

        To Sales Revenue $4,600

(Being the goods are sold for cash is recorded)

Cost of Goods Sold $1,000

           To Merchandise Inventory           $1,000

(Being the cost of the goods is recorded)

These two entries are recorded for recording the cash and the cost of the inventory

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know

of the three mortgage options that demarco and tanya have to choose from, the balloon payment mortgage would be their best option, over adjustable payment and fixed payment plans.ultimately, the balloon payment plan would save demarco and tanya overall, in interest, would cost less monthly, and they would only have to make these payments for 8 years, opposing to 30 years for adjustable or fixed payment plans. 

overall, demarco and tanya would save $80,811 if they chose balloon payments over fixed payments, and would save $116,711 if they choose balloon payments over adjustable payments. benefits with choosing fixed payments over adjustable payments is that, in the end, the payments will still be $836.30 a month, while with adjustable payments, the initial monthly payments will be $763.38 to $1082.70 a month, ultimately leading to a more costly purchase. benefits with choosing fixed payments over balloon payments are not present. benefits in choosing adjustable payments over is that it has a lower interest rate, and starts with lower monthly payments initially. benefits in choosing adjustable payments over balloon payments include a lower interest rate, and lower initial monthly payments. benefits in choosing balloon payments over fixed payments include lower interest rates, lower overall price, lower monthly payments, takes less time to pay off, and does not require a downpayment. benefits in choosing balloon payments over adjustable payments include, lower monthly payments (when averaged), takes less time to pay off, and lower overall price.

hence, option c, balloon payments, is the best option for demarco and tanya to make this purchase, for it will save them a minimum of $80811, and a maximum of $116,711.