Cornerstone Exercise $5-24($Algorithmic$)$

Sales Discounts Not Taken

Bolton sold a customer service contract with a price of $$35,000$ to Sammy's Wholesale Company. Bolton offered terms of $\frac{1}{10},\frac{n}{30}$ and expects Sammy to pay within the discount period.

Required:

Prepare the journal entry assuming the payment is made after $10$ days $($after the discount period$).$ If an amount box does not require an entry, leave it blank.

Sales Revenue

Accounts Receivable

Record collection within discount period