Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

77) Moreland Moldings purchased goods on credit costing S85,000 with terms of 3/10 n/30. Payment is made to the seller 7 days after the purchase.

image text in transcribed
77) Moreland Moldings purchased goods on credit costing S85,000 with terms of 3/10 n/30. Payment is made to the seller 7 days after the purchase. How would the payment be recorded? A) Debit Inventory for $2,550, debit Cash for $82,450, and credit Accounts Payable for $85,000. B) Debit Accounts Payable for $85,000, credit Cash for $82,450, and credit Cost of Goods Sold for $2,550, ) Debit Accounts Payable for $85,000 credit Cash for $82,450, and credit Inventory for $2,550. D) Debit Accounts Payable and credit Cash for $85,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Internal Auditing Assurance And Consulting Services

Authors: Kurt F. Reding, Paul J. Sobel, Urton L. Anderson, Michael J. Head, Sridhar Ramamoorti, Mark Salamasick, Contributing Writer, Cris Ridd, Richard Tuschman

1st Edition

0894136100, 978-0894136108

More Books

Students also viewed these Accounting questions

Question

What are the objectives of Human resource planning ?

Answered: 1 week ago

Question

Explain the process of Human Resource Planning.

Answered: 1 week ago