Under the revenue treatment of recording discounts, which procedure is used to record the discount on an invoice for food purchases of $300 with a 2% discount? a. The discount is recorded to a Cash Discounts Earned account. b. The discount is recorded as a reduction of food cost. c. The discount is recorded as an increase to sales revenue. d. The discount is not recorded.

Alison's Resorts buys uniforms from McGuire Manufacturing. Alison purchased uniforms from McGuire on July 17 and received an invoice with a list price amount of $6,000 and payment terms of 2/10, n/30. Alison uses the net method to record purchases. Alison should record the purchase at: $5,940. $5,880. $6,000. $6,120.