Accounting for IGCSE & O level - The Fundamentals Of Accounting (Section 21 - No. 7)

What accounts are affected when a business receives cash from a customer for a credit sale?
Cash (or Bank)
Sales Account
Trade Receivable
Cost of Goods Sold

Explanation

When cash is received from a customer for a credit sale, the Cash account (or Bank) is debited, and Trade Receivables are credited.

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