r

Question 25 (0.125 points) A buyer of $7,000 in merchandise inventory failed to take advantage of the vendor's credit terms of 2/15, n/45, and instead paid the invoice in full at the end of 45 days. By not taking advantage of the cash discount, the buyer lost the discount of: $70. $1,050. $700. $100. $140. Question 26 (0.125 points) A debit to Sales Returns and Allowances and a credit to Accounts Receivable: Reflects an increase in amount due from a customer. Recognizes that a customer returned merchandise and/or received an allowance. Records the cost side of a sales return. Is recorded when a customer takes a discount. Reflects a decrease in amount due to a supplier