Answer:
See explanation
Explanation:
If Blossom Company received on December 13 (Assuming perpetual inventory system was used), the journal entry to record the receipt -
Debit Cash $466,970
Debit Sales Discount $9,530
Credit Accounts receivable $476,500
Giving 2% discount to the customer after the sales return and allowances because the customer paid the amount within the terms 2/10, n/30.
As the customer failed to pay on December 13 and paid on January 2, the company did not receive the sales discount. And the following journal entry will be required -
Debit Cash $476,500
Credit Accounts receivable $476,500
After deducting the sales returns, Blossom company will receive the payment.
