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ALS & Co. sold goods with an invoice price of P5,700,000 on January 1, 2021. Trade discounts were 25% and 5%. Terms were 4/30, n/60.
ALS & Co. sold goods with an invoice price of P5,700,000 on January 1, 2021. Trade discounts were 25% and 5%. Terms were 4/30, n/60. Customer made a down payment equal to 25% of the list price. The remaining balance was paid on January 31, 2021. ALS & Co. uses the net method.
1. How much were total trade discounts?
2. How much is recorded by ALS & Co. to Sales on January 1, 2021?
3. How much accounts receivable was recorded on January 1. 2021?
4. How much was recorded to Purchase Discounts Lost on January 31, 2021?
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