“P & G Auto Parts sells parts to Cullumber Car Repair during Year 18. P&G offers rebates of…

“P & G Auto Parts sells parts to Cullumber Car Repair during Year 18. P&G offers rebates of 1% on the first $60000 of purchases and 2% on purchases over $60000 if the customer s purchases for the year exceed $200000. In the past, Cullumber normally purchases $300000 in parts during a calendar year. On March 25, Year 18, Cullumber Car Repair purchased $86000 of parts. The journal entry to record the purchase includes a”

debit to Accounts Receivable for $86000.

debit to Accounts Receivable for $85400.

credit to Sales Revenue for $85400.

credit to Sales Revenue for $84880.