ber A purchase of merchandine for $1,000 on account with credit terms of 7/10, 1/30. I payment is made after the discount period, the journal entry made using the met-orice method would O a debit Accounts Payable and credit Purchases for $980. Ob debit Accounts Payable and credit cash for $1,000 Oc debit Accounts Payable and credit Cash for $980 Od. debit Accounts Payable for $980, debit Purchase Discounts Cost for $20, and credit cash for $1.000 The following transactions are related to a purchase and cash payment for Bay Leaf Co.: May 2 Purchased merchandise from Tea Time Inc. on account, $252.50. Invoice No. 21 dated May 3, terms 2/10, 1/30. May 13 Issued check No. 350 to Tea Time Inc. in payment of invoice No 21 less the 2% discount. To record the May 13 payment, Bay Leaf Co. should O a. not take the discount, because the payment is made after the allowed discount period. O b. debit Accounts Payable/Tea Time and credit Cash for $247.45. Oc c. debit Accounts Payable/Tea Time for $252.50 and credit Cash for $247.45 and Purchase Discounts for $5.05. Od debit Accounts Payable/Tea Time and credit Cash for $252.50. Maps YouTube 9 News M Gmail Under the gross-price method, purchases are recorded at the net amount, assuming that all available cash discounts will be taken True O False The journal entry to record a $500 purchase under the net price method with credit terms of 2/15, 1/30 would be Oa. Debit, purchases and credit, accounts payable for $490. Ob. Debit, inventory and credit, accounts payable for $500 OC. Debit, purchases and credit, accounts payable for $500. Od. None of these choices are correct