Answered You can hire a professional tutor to get the answer.
A company that uses the net method of recording purchases and a perpetual inventory system purchased $3,700 of merchandise on July 5 with terms 2/10,...
A company that uses the net method of recording purchases and a perpetual inventory system purchased $3,700 of merchandise on July 5 with terms 2/10, n/30. On July 7, it returned $850 worth of merchandise. On July 28, it paid the full amount due. The correct journal entry to record the payment on July 28 is:
Multiple Choice
a. Debit Merchandise Inventory $2,850; credit Cash $2,850.
B. Debit Cash $2,850; credit Accounts Payable $2,850.
C. Debit Accounts Payable $2,850; credit Merchandise Inventory $57; credit Cash $2,793.
D. Debit Accounts Payable $3,700; credit Cash $3,700.
E. Debit Accounts Payable $2,793; debit Discounts Lost $57; credit Cash $2,850.
