if-a-company-uses-specific-identification-and-sells-a-unique-item-for-1200000-pu

Question

If a company uses specific identification and sells a unique item for $$1,200,000, purchased for 900$$,000, what journal entries should be made?

Accepted Answer

Debit Cash $$1,200,000; Credit Revenue 1$$,200,000; Debit Cost of Goods Sold $$900,000; Credit Inventory 900$$,000

Answer

Debit Revenue $$1,200,000; Credit Cash 1$$,200,000; Debit Inventory $$900,000; Credit Cost of Goods Sold 900$$,000

Answer

Debit Cash $$900,000; Credit Revenue 900$$,000; Debit Cost of Goods Sold $$1,200,000; Credit Inventory 1$$,200,000

Answer

Debit Inventory $$1,200,000; Credit Cash 1$$,200,000; Debit Revenue $$900,000; Credit Cost of Goods Sold 900$$,000

If a company uses specific identification and sells a unique item for \$1,200,000, purchased for \$900,000, what journal entries should be made?