Morgan, Inc. uses a perpetual inventory system and the net method of recording purchases. On May 12, a merchandise purchase of $20,600 was made on credit, 3/10, n/30. The journal entry to record this purchase is:

Multiple Choice Merchandise Inventory 20,600 Accounts Payable 20,600

Accounts Payable 20,600 Merchandise Inventory 20,600

Purchases 20,600 Accounts Payable 20,600

Purchases 19,982 Accounts Payable 19,982

Merchandise Inventory 19,982 Accounts Payable 19,982