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Question - On May 12, 2021, Falwell Computing sold five computers to Computing Plus for $10,000, subject to terms 3/10, n/30. Falwell uses the GROSS method of accounting for sales discounts.
Required -
1. Prepare the journal entry to record the sale.
2. Prepare the journal entry to record receipt of the payment, assuming the correct amount was received on May 20, 2021.
3. Prepare the journal entry to record receipt of the payment, assuming the correct amount was received on June 5, 2021.
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