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For each of the following scenarios, calculate the amount of cash to be paid AND the amount of the discount for the following inventory given
For each of the following scenarios, calculate the amount of cash to be paid AND the amount of the discount for the following inventory given the terms: a. Inventory purchased on account for $10,000. Terms 3/30 n/45. Payment made in full in 15 days. b. Inventory purchased on account for $35,000. Terms 10/20 n/30. Payment made in 25 days. c. Inventory purchased on account for $2,500. Terms 5/10 n/15. Payment made in 12 days. d. Inventory purchased on account for $5,000. Terms 10/15 n/30. Payment made in 7 days. Prepare the buyer's entries for each of the following transactions and calculate the net cost of inventory: The company purchases $10,000 of inventory on account with terms 5/15 n/30 on January 1, 2019. The inventory is received on January 2, 2019 FOB Shipping. The company paid $100 cash for shipping charges on that date. On January 3, 2019 the company returns $500 worth of the inventory. In addition, the company receives a $150 allowance on the inventory. On January 5, 2019, the company pays for the inventory. Make sure to prepare and date ALL of the necessary entries for these transactions and to calculate the net cost of inventory
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