Question

X Company prepares monthly financial statements. On September 6, its accountant made an entry that resulted in a $45,000 increase in Cash and a $45,000 decrease in Accounts Receivable. Which of the following transactions is consistent with this entry? X Company

sold merchandise to customers on account for $45,000.
received $45,000 from a customer who had previously bought merchandise on account.
paid $45,000 to a supplier from whom the firm had previously bought merchandise on account.
received $45,000 from a customer who bought merchandise with cash.
received $45,000 from a new investor.
borrowed $45,000 from a bank and signed a note.

Answer 1

Answer- The following transactions is consistent with this entry for X company = received $45,000 from a customer who had previously bought merchandise on account.

Explanation- X company received cash from customer to whom previosly X company sold the merchandise on account. The following journal entry take place foe such transaction-

Transaction	ACCOUNTS TITLES & EXPLANATION	DEBIT	CREDIT
		$	$
1	Cash	45000
	Accounts Receivable		45000
	(Being entry recorded for cash received from customer )