Jim's Accessories bought 150 necklaces for $40 each on account. Payment terms are 5/10, n/30. In addition, 14 necklaces were returned prior to payment. The entry to record the return would include:
A) a debit to Accounts Payable for $560.
B) a debit to Accounts Payable for $538.
C) a debit to Merchandise Inventory for $560.
D) a debit to Merchandise Inventory for $538.
Correct Answer:
Verified
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