Juniper Company uses a perpetual inventory system and the gross method of accounting for purchases. The company purchased $9,750 of merchandise on August 7 with terms 1/10,n/30. On August 11 , it returned $1,500 worth of merchandise. On August 16 , it paid the full amount due. The correct journal entry to record the purchase on August 7 is: Multiple Choice Debit Accounts Payable \$8,250; debit Purchase Returns and Allowances $1,500; credit Merchandise Inventory $9,750. Debit Merchandise Inventory $9,750; credit Cash $9,750. Debit Merchandise Inventory $9,750; credit Sales Returns and Allowances $1,500; credit Cash $8,250. Debit Merchandise Inventory $9,750; credit Accounts Payable $9,750. Debit Accounts Payable $9,750; credit Merchandise Inventory $9,750