Melbourne Company sold merchandise that it had purchased with a list price of $3,300. The credit terms were of 2/10, n/30. Assuming that Melbourne paid for the merchandise during the discount period, the cost of goods sold for this transaction would be $2,970.
Answer the following statement true (T) or false (F)
False
Purchase discount = $3,300 × 0.02 = $66
Cost of goods sold = List price of purchase ? Purchase discount
Cost of goods sold = $3,300 ? $66 = $3,234
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