The entry to record payment of a voucher for an invoice after the discount period under the gross method and the periodic method will include:
A)a debit to Vouchers Payable.
B)a credit to Purchase Discounts.
C)a debit to Discounts Lost.
D)None of these is correct.

Question

Quizplus · Accepted Answer

Under the gross method, when a payment is made after the discount period, the full amount of the voucher payable is debited, as no discount is taken.

The Entry to Record Payment of a Voucher for an Invoice