A company purchased $1,800 of merchandise on July 5 with terms 2/10, n/30. On July 7, it returned $200 worth of merchandise. On July 8, it paid the full amount due. Assuming the company uses the gross method to record purchases, the journal entry to record the cash paid on July 8 is:
A. Debit Accounts Payable, $1,600; Credit Merchandise Inventory, $32; Credit Cash, $1,568.
B. Debit Accounts Payable, $1,800; Credit Merchandise Inventory, $36; Credit Cash, $1,764.
C. Debit Accounts Payable, $1,568; Debit Merchandise Inventory, $32; Credit Cash, $1,600.
D. Debit Accounts Payable, $1,568; Credit Cash, $1,568.
E. Debit Accounts Payable, $1,600; Credit Cash, $1,600.
Answer: A
You might also like to view...
Which method of processing does not use the destructive update approach?
a. batch processing using direct access files b. real-time processing c. batch processing using sequential files d. all of the above use the destructive update approach
If a plaintiff needs to prove actual malice in a defamation case, the plaintiff must show that the defendant ________.
A. made a false statement, and that the defendant either knew that the statement was false or showed reckless disregard that the statement was false B. made a false statement, or that the defendant either knew that the statement was false or showed reckless disregard that the statement was false C. made a false statement, and that the defendant either knew that the statement was false or showed negligent disregard that the statement was false D. made a false statement, or that the defendant either knew that the statement was false or showed negligent disregard that the statement was false
Documentation of the work of others accomplishes all but which of the following?
a. It gives credit where credit is due. b. It protects the writer against plagiarism. c. It strengthens weak research methods. d. It marks you as a professional researcher.
Suzanne Searles, TransPort's manager of marketing, is traveling on business in a foreign country. She is negotiating a large contract with the ministry of agriculture, and the minister's deputy is asking for a "facilitation fee" of $250 USD to relax certain contractual requirements. At this point, Suzanne should
A. pay the deputy because the value of the contract is significant. B. accuse the deputy of unethical behavior and immediately return home. C. counter with a smaller amount, for example, $225 USD. D. contact law enforcement authorities in the foreign country. E. comply with TransPort's ethics program, telephoning her firm's ethics officer or legal counsel as needed.