Assuming a periodic inventory system, the journal entry to record the purchase on account of $1,070 of merchandise with freight of $150 prepaid and added to the invoice is:

A. Debit purchases $1220; credit accounts payable $1220

B. Debit purchases $1070; debit freight in $150; credit accounts payable $1220

C. Debit accounts receivable $1220; credit sales $1220

D. Debit accounts payable $1220; debit freight in $150; credit purchases $1070

Answer rating: 100% (QA)

B Debit purchases 1070 debit freight in 150 credit accounts payable 1220 Explan... View the full answer