Concept:When goods are sold on credit, the business must record the increase in money owed by the customer and the revenue earned from the sale.
Explanation:The customer who owes money for goods bought on credit is called a debtor.
The amount owed by the debtor is an asset for the business.
An increase in an asset is recorded by a debit.
So, the debtors account is debited.
The sale increases revenue, and revenue is recorded by a credit.
So, the sales account is credited.
Thus, the ledger entry for goods sold on credit is debit debtors account and credit sales account.
Answer:A. debtors account, credit sales account