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In January, 2021, Summit Department Store sells a gift card for $50 and receives cash. In February, 2021, the customer comes back and spends $20 of the gift card to purchase a water bottle. What would be the appropriate journal entry for the customer’s purchase of the water bottle in February? Multiple Choice Debit Deferred Revenue, $50; credit Sales Revenue, $50. No journal entry is necessary. Debit Sales Revenue, $20; credit Deferred Revenue, $20. Debit Deferred Revenue, $20; credit Sales Revenue, $20.
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In January, 2021, Summit Department Store sells a gift card for $50 and receives cash. In February,...
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