Pearl Engineering Corporation purchased conveyor equipment with a list price of $9,600. Presented below are three independent cases related to the equipment. (a) Pearl paid cash for the equipment 8 days after the purchase. The vendor's credit terms are 2/10,n/30. Assume that equipment purchases are initially recorded gross. (b) Pearl traded in equipment with a book value of $2,000 (initial cost $8,700 ), and paid $8,500 in cash one month after the purchase. The old equipment could have been sold for $500 at the date of trade. (The exchange has commercial substance.). (c) Pearl gave the vendor a $11,300 zero-interest-bearing note for the equipment on the date of purchase. The note was due in one year and was paid on time. Assume that the effective-interest rate in the market was 9%. Question 3 of 3 (a) Tquipment Accounts Payable (To record the purchase of equipment on account.) Accounts Payable Discount on Notes Payable Cash (To record the payment on account.) (b) Fquipment 9600 Accumulated Depreciation- Equipment 6700 Equiponent Acconints Pryable Iestion 3 of 32.6/41 Accounts Payable (To record the payment on account.) (c) Equipment Accounts Payable Discount on Notes Payable 10367 (To record the purchase of equipment with a note) Notes Payable 10367 Interest Expense 933 Discourit on Notes Payable Cash 11300