purchased merchandise inventory on account from ACCT 201 company for $2,000; terms 1/10, net 30. Freight charges paid in cash were $70, based on Free on Board shipping point. The company uses the NET method to record purchase discounts and a perpetual inventory system. Which of the following entries correctly record the transaction for Co.? A. Dr. Merchandise Inventory $1,980; Cr. Accounts Payable $1,980 Dr. Merchandise Inventory $70; Cr. Cash $70 B. Dr. Accounts Receivable $2,070; Cr. Sales $2,000; Freight In $70 C. Dr. Purchases $2,000; Cr. Accounts Payable $2,000 Dr. Freight In $70; Cr. Cash $70 D. Dr. Accts Payable $1,980; Dr. Merchandise Freight $70; Cr. Mdse Inventory $2,050 E. None of the above entries are correct