ADRIAN CORP. SELLS GOODS ON ACCOUNT FOR $100000 ON MAY 1. ON MAY 15, THE CUSTOMER RETURNS $40000 OF THE MERCHANDISE. THE CUSTOMER HAS NOT YET PAID FOR ANY OF THE GOODS. WHAT WILL ADRIAN RECORD ON MAY 15?

A. CREDIT TO ALLOWANCE FOR SALES RETURNS
B. DEBIT TO SALES EXPENSE
C. DEBIT TO SALES RETURNS
D. CREDIT TO ACCOUNTS RECEIVABLE

D. CREDIT TO ACCOUNTS RECEIVABLE

Explanation:

Sales return is the transaction of return of goods by customer which is sold earlier. It is posted in a contra sales account and the receivable will be reduced if sold on credit otherwise cash will be refunded.

The Entry for sales return will be as follows

Dr. ALLOWANCE FOR SALES RETURNS $40,000

Cr. Account Receivable $40,000

So the correct answer is D. CREDIT TO ACCOUNTS RECEIVABLE

answer; /// i believe the correct answer is (all of the above);

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'