Question

Neveranerror, Inc. was organized on June 1, 2019 by a group of accountants
to provide accounting and tax services to small businesses. The following
transactions occurred during June, its first month of operations:

(1)  On June 1, Neveranerror received contributions totaling $50,000 from
     the owners of the business in exchange for shares of stock.

(2)  On June 5, Neveranerror purchased a computer system for $12,000. The
     agreement with the vendor requires a down payment of $2,500 with the
     remaining balance due in 60 days.

(3)  On June 15, Neveranerror sent bills to clients totaling $12,350 for
     services rendered during the first two weeks of June.

(4)  On June 17, Neveranerror paid $900 to rent office furniture for three
     months.

(5)  On June 21, Neveranerror received 80% of the amount billed to clients
     on June 15.

(6)  On June 28, Neveranerror received and paid gas, electric, and water
     bills totaling $2,700.

(7)  On June 29, Neveranerror received the landlord's bill for $2,200 for
     rent on the office space that Neveranerror leases. The bill is due by
     the 10th of the following month.

(8)  On June 30, Neveranerror paid salaries and wages for June amounting
     to $5,940.

The journal entry made by Neveranerror to record the June 21 transaction
would be:

Group of answer choices

Cash .............................. 9,880
Sales revenue ........................ 9,880

Accounts payable ........ 9,880
Cash ............................................. 9,880

Cash .............................. 9,880
Accounts receivable .............. 9,880

Sales revenue ............... 9,880
Cash ............................................. 9,880

Cash .............................. 9,880
Accounts payable ................... 9,880

Accounts receivable ........ 9,880
Cash ................................................. 9,880

Answer 1

Journal entry

Date	General Journal	Debit	Credit
June 21	Cash (12350*80%)	9880
	Account receivable		9880

So answer is c)