On May 1, a company purchased inventory costing $2,000 on account with terms 2/10, n/30. On May 8, the company pays for this inventory and records which of the following using a perpetual inventory system? Event Account Title Debit Credit 1. Accounts Payable 2,000 Cash 2,000 2. Accounts Payable 1,960 Inventory 40 Cash 2,000 3. Accounts Payable 2,000 Inventory 40 Cash 1,960 4. Cash 2,000 Accounts Payable 2,000