1. Merchandise is sold on credit for $12,000, with terms of 1/10, n/30. If the buyer pays the invoice within 10 days of the invoice date, what is the amount of the payment?

Multiple Choice

A. $12,012

B. $12,000

C. $11,988

D. $11,880

2 .On May 1, Peterson Company sold merchandise on account to White Corporation for $2,000, plus 8% sales tax. The terms were net 30. On May 20, White Corporation returned merchandise totalling $100. On May 25, White Corporation paid the balance on account to Peterson Company. True or false: the journal entry to record the receipt of cash on May 25 on Peterson Company's books is debit Cash, $2,060, and credit Accounts Receivable, $2,060

3. On June 1, Lulu's Performing Arts School purchased merchandise with a list price of $8,500 from Monty's Inc. with credit terms 2/10, n/30. On June 3, Lulu's returns $3,500 of the merchandise. Compute the amount owed by Lulu's if the store pays within the discount period.

AMOUNT PAID -