Periodic Inventory - Purchase Discounts Video Lessons

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Problem: On June 18, Alexis Inc. purchased $600 of merchandise with credit terms 0.5/15, n/60 from Nike. If Alexis makes a payment on July 05, it will result in an entry from Nike ofa. debit to Cash for $597.b. credit to Accounts Receivable for $600.c. credit to Cash for $600.d. debit to Sales Discounts for $3.

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Problem Details

On June 18, Alexis Inc. purchased $600 of merchandise with credit terms 0.5/15, n/60 from Nike. If Alexis makes a payment on July 05, it will result in an entry from Nike of

a. debit to Cash for $597.

b. credit to Accounts Receivable for $600.

c. credit to Cash for $600.

d. debit to Sales Discounts for $3.

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Our tutors rated the difficulty ofOn June 18, Alexis Inc. purchased $600 of merchandise with c...as medium difficulty.