A company that uses the perpetual inventory system purchased inventory for

$1,090,000

on account with terms of

5/7,

n/20. Which of the following correctly records the payment made 15 days after the date of invoice?

A.

Accounts Payable	1,090,000
Merchandise Inventory		54,500
Cash		1,035,500

B.

Accounts Payable	1,090,000
Merchandise Inventory		1,090,000

C.

Accounts Payable	1,090,000
Cash		1,090,000

D.

Cash	1,090,000
Accounts Payable		1,090,000