Your company purchased leather goods valued at $40,000 on account for your chain of boutiques. The credit terms were 2/10 net 30. The invoice will be paid within the discount period. Shipping is F.O.B. Destination, amounts to $775 and will be paid in Cash Prepare the journal entry necessary to properly record the freight Choose the correct answer and place the letter corresponding to it on the answer sheet for Prob. 6. a) Inventory Cash b) Freight/Delivery Expense Cash Debit 775 Credit 775 775 775 c) No Entry Required d) Prepaid freight 775 Accounts Payable 775