On May 10, 2019, ABC Company purchased equipment for $12,000, paid $5,000 cash and the remaining on account. On May 15, 2019, the company paid 40% of the amount due.

1) The credit side of May 10 entry should include: *

Equipment $12,000

Accounts Payable $7,000

Cash $2,800

All of the above

2) The entry of May 15 will include Account Payable of: *

$7,000

$4,200

$2,800

$4,800

3) What is the remaining balance due from the purchase of the equipment? *

$7,000

$4,200

$2,800

$4,800