Nezee Paints purchased merchandise on account from a supplier for $9,000, terms 2/10, n/30. Nezee Paints returned $1,200 of the merchandise two days later and received full credit.

1. If Nezee Paints pays the invoice one day before the end of the discount period, what is the amount of the discount?

2. Under the perpetual inventory system, what account is credited by Nezee Paints to record the return?

3. Assuming the payment was made one day before the end of the discount period, what is the balance of the Merchandise Inventory account 

Answer rating: 100% (QA)

word m A Nazee Purchased Mochandise on accor for 900... View the full answer