Question

A company using the perpetual inventory system purchased inventory worth $540,000 on account with credit terms of 2/15, n/45. defective inventory of $40,000 was returned 2 days later, and the accounts were appropriately adjusted. if the company paid the invoice 20 days later, the journal entry to record the payment would be ________.

Answer 1

$500,000 debit to Accounts Payable and​ $500,000 credit to Cash

Step-by-step explanation: