The entry to record the receipt of payment within the discount period on a sale of ¥12,500 with terms of 2/10, n/30 will include a credit to

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The entry will include a credit to Accounts Receivable for ¥12,500, as this is the original amount owed by the customer. The discount of 2% on ¥12,500 is ¥250, so the customer pays ¥12,250 in cash, and the discount is recorded separately.

The Entry to Record the Receipt of Payment Within the Discount