Tom’s Textiles shipped the wrong material to a customer, who refused to accept the order. Upon receipt of the material, Tom’s Textiles would credit Accounts Receivable and debit:

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Tom’s Textiles shipped the wrong material to a customer, who refused to accept the order. Upon receipt of the material, Tom’s Textiles would credit Accounts Receivable and debit:

A) Sales Revenue.

B) Sales Discounts.

C) Sales Returns.

D) Sales Allowances.

Answer: Sales Returns.

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