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Hushpuppy Company purchased merchandise on account from a supplier for $6,750, terms 2/10, n/30. Hushpuppy Company returned $1,500 of the merchandise and received full credit.

Hushpuppy Company purchased merchandise on account from a supplier for $6,750, terms 2/10, n/30. Hushpuppy Company returned $1,500 of the merchandise and received full credit. a. If Hushpuppy Company pays the invoice within the discount period, what is the amount of cash required for the payment? b. Under a perpetual inventory system, what account is credited by Hushpuppy Company to record the return?

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