During 2020, Student Industries began operations and had inventory purchases of $1,000,000 before cash discounts. All purchases were made on terms of 3/15, n/60. Half of the items purchased were paid for within 15 days of purchase. All of the goods available had been sold at year end. Which of the following recording procedures would result in the highest cost of goods sold for 2020? 1. Recording purchases at gross amounts 2. Recording purchases at net amounts, with the amount of discounts not taken shown under "other expenses" in the income statement O2 Either 1 or 2 will result in the same cost of goods sold. 0 1 O Cannot be determined from the information provided