25 SETTLEMENT DISCOUNTS A business received an invoice for the purchase of goods totalling $600 with the offer of a 3% settlement discount for early payment. The business paid early to take advantage of the early settlement discount. The same business issued an invoice to one of its customers for $900 with a 3% settlement discount if it is paid before the normal settlement date. This customer normally takes advantage of the early settlement discount, and the sales invoice was prepared on that expectation. Subsequently, the customer paid within the required time to be eligible for the discount. Required: Using the following T accounts, record all the transactions above from initial invoices through to payment and dealing with the settlement discounts. (6 marks) Ignore sales tax. Accounts receivable Sales account Accounts payable account Discounts received Purchases account Cash at bank account