Juniper Company uses a perpetual inventory system.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 amount due.The amount of the cash paid on August 26 equals:

Question

Quizplus · Accepted Answer

The original purchase was $9,750, and $1,500 was returned, leaving $8,250. Since the payment was made after the discount period (1/10, n/30), no discount is applied, so the full amount of $8,250 is paid.

Juniper Company Uses a Perpetual Inventory System