Suppose a Target store purchases $60,000 of women's sportswear on account from Tommy. Credit terms are 2/10,
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Suppose a Target store purchases $60,000 of women's sportswear on account from Tommy. Credit terms are 2/10, net 30. Target pays electronically, and Tommy receives the money on the tenth day.
Journalize Target's
(a) purchase
(b) payment transactions.
What was Target's net cost of this inventory?
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