On March 30, Baileys dog bakery purchased $1,000 of merchandise on account from the Williams Company. The

Question:

On March 30, Bailey’s dog bakery purchased $1,000 of merchandise on account from the Williams Company. The goods were shipped F.O.B shipping point. The freight charge of $80 was paid by Williams Company and added to the invoice. The amount to record in the account is?
a. 1,080
b. 1,070
c. 1,000
d. 990

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...