Accounts Payable and Cash Discounts Instructions Dunbar Company sells electronics and on January 4, 2016, purchased 3,000 television sets at $900 each, on credit. Terms of the purchase were 2/10. n/30. Dunbar paid for 25% of these sets on January 13 and the remaining 75% on February 1 . Required: 1. Prepare the journal entries on Dunbar Company's books, assuming that it uses the net price method to record its merchandise. (Dunbar uses a perpetual inventory system.) 2. Next Level Discuss the conceptual advantage of the net price method compared to the gross price method. Chart of Accounts Accounts Payable and Cash Discounts General Journal Prepare the joumal entries on Dunbar Company's books, assuming that it uses the net price method to record its merchandise. (Dunbar uses a perpetual inventory system.) Discuss the conceptual advantage of the net price method compared to the gross price method. The method is theoretically superior to the method because it values the inventory and the related liability at the amount that the company expects to pay to acquire the goods