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A company purchased inventory for $4,000 from a vendor on account, FOB shipping point, with terms of 3/10, n/30. The company paid $200 cash
A company purchased inventory for $4,000 from a vendor on account, FOB shipping point, with terms of 3/10, n/30. The company paid $200 cash for freight in. The entry to record the payment of the invoice within 10 days of the invoice date by the purchaser would include (Assume a perpetual inventory system.) O A. a debit to Accounts Payable for $3,880 and a credit to Cash for $3,880 OB. a debit to Accounts Payable for $4,000, a credit to Merchandise Inventory for $120, and a credit to Cash for $3,880 OC. a debit to Accounts Payable for $3,880, a debit to Merchandise Inventory for $120, and a credit to Cash for $4,000 OD. a debit to Accounts Payable for $4,000, a credit to Merchandise Inventory for $200, and a credit to Cash for $3,800
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