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Instructions: Johnson Company uses a perpetual inventory system. On October 23, Johnson purchased $70,000 of inventory on credit with payment terms of 1/15, net

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Instructions: Johnson Company uses a perpetual inventory system. On October 23, Johnson purchased $70,000 of inventory on credit with payment terms of 1/15, net 45. Required: Using the net price method, prepare journal entries to record Johnson's purchase on October 23 and the subsequent payment on November 30.

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