On July 2, 2021, Concord Company sold to Sue Black merchandise having a sales price of $10,800 (cost $6,480) with terms of 2/10. n/30. f.o.b. shipping point. Concord estimates that merchandise with a sales value of $630 will be returned. An invoice totaling $110, terms n/30, was received by Black on July 6 from Pacific Delivery Service for the freight cost. Upon receipt of the goods, on July 3, Black notified Concord that $350 of merchandise contained flaws. The same day, Concord issued a credit memo covering the defective merchandise and asked that it be returned at Concords expense. Concord estimates the returned items to have a fair value of $130. The freight on the returned merchandise was $30 paid by Concord on July 7. On July 12, the company received a check for the balance due from Black. |