Answer:
the amount of cash that should be received by the seller is $9,603
Explanation:
Transaction to be recorded on date of Sale
Trade Receivable $12,100 (debit)
Revenue $12,100 (credit)
<em>Being Recognition of Revenue</em>
Delivery Cost $341 (debit)
Bank $341 (credit)
<em>Being Recognition of Delivery Costs</em>
Credit for Merchandise Returned
Revenue $2,400 (debit)
Trade Receivable $2,400 (credit)
Payment made within the discount period
Discount Allowed $97 (debit)
Trade Receivable $97(credit)
<em>Discount = ($12,100-$2,400)×1%=$97</em>
Cash $9,603 (debit)
Trade Receivable $9,603 (credit)