The Entry to Record a Purchase of $12,000 in Merchandise

question 85

Multiple Choice

The entry to record a purchase of $12,000 in merchandise assuming terms of 2/10,n/30 and a periodic inventory system would include a(n)

• A)increase to Accounts Payable for $12,000.
• B)increase to Purchases Discounts for $240.
• C)decrease to Purchases for $12,000.
• D)decrease to Accounts Payable for $11,760.

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