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BSP Corporation Purchased Inventory from RSR Corporation on Account, $1,000

Question 29

Multiple Choice

BSP Corporation purchased inventory from RSR Corporation on account, $1,000.BSP also paid $100 freight to reimburse RSR for its payment to the common carrier that transported the merchandise.If RSR offered credit terms of 2/10, n/30 and BSP paid within the discount period, the total cash disbursed to RSR was:


A) $1,080.
B) $1,078.
C) $980.
D) Some other amount.

Correct Answer:

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