1. Under the gross method, when the customer pays within the discount period, which of the following accounts is not recorded in the journal entry to record the cash receipt? a. Sales Discounts b. Accounts Receivable c. Cost of Goods Sold d. Cash 2. Assume Centennial Co. sold merchandise to Sawmill Industries for $20,000, with credit terms of 2/10, n/30. Sawmill pays in full, but does not take the discount. Using the net method of recording sales discounts, the entry to record the payment would include a a. credit to Accounts Receivable-Sawmill Industries for $20,000. b. credit to Sales for $19,600. c. credit to Accounts Receivable-Sawmill Industries for $19,600. d. credit to Sales Discounts for $400