now journalize the expense related to the jan 20 sale—cost of goods is $2,150\ndate\naccounts\ndebit\ncredit\…

now journalize the expense related to the jan 20 sale—cost of goods is $2,150\ndate\naccounts\ndebit\ncredit\njan 20

now journalize the expense related to the jan 20 sale—cost of goods is $2,150\ndate\naccounts\ndebit\ncredit\njan 20

Answer

Explanation:

Step1: Identify the accounts involved

The cost of goods sold is an expense account and inventory is the asset account being reduced.

Step2: Determine debit and credit rules

Expenses are debited when they increase and assets are credited when they decrease.

Step3: Record the journal - entry

Debit the Cost of Goods Sold account and credit the Inventory account.

Answer:

Date Accounts Debit Credit
Jan 20 Cost of Goods Sold $2,150
Inventory $2,150