Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On August 1 , Neil Brothers bought goods with a list price of $ 1 5 , 8 0 0 , terms 2 1 0

On August 1, Neil Brothers bought goods with a list price of $15,800, terms 210,n30. The firm records purchases at invoice price, using the periodic inventory system. On August 5, Neil Brothers returned goods with a list price of $2,000 for credit. If Neil Brothers paid the supplier the amount due on August 9, the appropriate entry would be:
Select one:
a.
\table[[,Debit,Credit],[Purchases,15,800,],[Accounts Payable,,15,800]]
b.
\table[[,Debit,Credit],[Accounts Payable,13,524,],[Cash,,13,524]]
C.
\table[[,Debit,Gredit],[Accounts Payable,13,800,],[Cash,,13,800]]
d.
\table[[,Debit,Credit],[Accounts Payable,13,800,],[Purchases Discounts,,276],[Cash,,13,524]]
e.
\table[[,Debit,Gredit],[Accounts Payable,15,800,],[Purchases Discounts,,316],[Cash,,15,484]]
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Accounting

Authors: Anthony A. Atkinson, Robert S. Kaplan, S. Mark Young, Rajiv D. Banker, Pajiv D. Banker

3rd Edition

9780130101952

More Books

Students also viewed these Accounting questions