Juniper Company Uses a Perpetual Inventory System and the Gross

question 210

Multiple Choice

Juniper Company uses a perpetual inventory system and the gross method of accounting for purchases. The company purchased $9,750 of merchandise on August 7 with terms 1/10, n/30. On August 11, it returned $1,500 worth of merchandise.
-On August 26, it paid the full mount due. The amount of the cash paid on August 26 equals:

• A) $9,652.50.
• B) $8,250.00.
• C) $9,750.00.
• D) $8,167.50.
• E) $8,152.50.

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Definitions:

Mean

The arithmetic average of a set of numbers, calculated by summing them and dividing by the number of numbers.

Area

A quantity expressing the two-dimensional size or extent of a shape or surface, typically measured in square units.

Variance

A measure of dispersion in a set of data points, calculated by taking the average of the squared differences from the mean.

Standard Deviation

A statistic that quantifies the dispersion or variability of a dataset, measuring the average distance between each data point and the mean.