A Company That Uses the Perpetual Inventory Method Purchases Inventory

A company that uses the perpetual inventory method purchases inventory of $1,000 on account with terms of 2/10,n/30.Defective inventory of $200 is returned 2 days later and the accounts are appropriately adjusted.If the company paid the vendor 25 days later,which of the following entries would be made to record the payment?

A) $800 debit to Accounts payable and an $800 credit to Cash
B) $784 debit to Accounts payable, a $16 debit to Inventory and an $800 credit to Cash
C) $16 debit to Inventory, an $800 debit to Accounts payable and an $816 credit to Cash
D) $800 debit to Accounts payable, a $16 credit to Inventory and a $784 credit to Cash