Problem: On September 12, J Company purchased merchandise in the amount of $5,800 from V Company on credit with terms of 2/10, n/30. J Company receives a $800 allowance on September 15 and pays the balance of the invoice on September 28. If J company uses the perpetual inventory method, the cost of goods sold recorded when the remaining inventory was sold would be: a. $5,800 b. $0 c. $5,000 d. $6,400

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Problem Details

On September 12, J Company purchased merchandise in the amount of $5,800 from V Company on credit with terms of 2/10, n/30. J Company receives a $800 allowance on September 15 and pays the balance of the invoice on September 28.

If J company uses the perpetual inventory method, the cost of goods sold recorded when the remaining inventory was sold would be:

a. $5,800

b. $0

c. $5,000

d. $6,400

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