2.5 pts On June 1, ABC Company purchased $1,500 on account, terms 2/10,n/30. The company records purchases. Which of the following statements is true about the effect of the purchase? Total liabilities would not change. Total assets would not change. Assets and liabilities would increase $1,500. Assets and liabilities would increase $1,470. On June 1, ABC Company purchased $1,500 on account, terms 2/10,n/30. If the company pays the invoice on June 10, which of the following statements is true about the effect of the payment? O Accounts payable would increase, and cash would decrease $1,470. O Accounts payable and cash would decrease $1,500. O Accounts payable would decrease, and cash would increase $1,470. O Accounts payable and cash would decrease $1,470. On June 1, ABC Company purchased $1,500 on account, terms 2/10,n/30. After inspection of the goods, ABC discovered that the goods were defective and returned the goods before payment was made. Which of the following statements is true about the effect of the purchase return? Assets and liabilities would decrease $1,500. O Assets and liabilities would decrease $1,470. O Assets and liabilities would increase $1,470. O Assets and liabilities would decrease $1,500. Net sales minus cost of goods sold is referred to as: Gross profit. O Operating income. O Cost of goods available for sale. O Net income. Assume that a buyer uses the perpetual inventory system. If the buyer pays the shipping for inventory purchased, what affect would the shipping costs have on the buyer's accounting equation? Total assets would not change. O Total assets would decrease. O Total assets would increase. O The accounting equation would not be affected. Question 10 2.5 pts On June 5, Marshall Company sold merchandise for $1,800 cash that cost $1,200. What effect would this transaction have on the accounting equation? Assume Marshall uses a perpetual inventory system. O Cash would increase $1,800, inventory would decrease $1,200, and retained earnings would increase $600. Cash and retained earnings would increase $1,800. Cash and retained earnings would increase $600. Inventory and retained earnings would decrease $1,200