Are credit sales recorded as accnts receivable on balance sheet and sales revenues on income statement?

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Are credit sales recorded as accnts receivable on balance sheet and sales revenues on income statement?

2007-12-21 23:39:39 · 2 answers · asked by Ana M 1 in Business & Finance ➔ Other - Business & Finance

2 answers

Yes. When you make a sale on credit or on account, your entries:
Dr Accounts receivable xxx (balance sheet item)
Cr Sales revenue xxx (income statement item)

2007-12-22 02:07:07 · answer #1 · answered by Sandy 7 · 1⤊ 0⤋

If you mean store credit, then yes they are. If you mean credit card purchases, then no.

2007-12-22 08:07:43 · answer #2 · answered by Steve 6 · 0⤊ 0⤋