Question: Recommendation- Spring Co. bought merchandise from All Co. with terms 2/10, n/30. Johanne Ring, the bookkeeper, forgot to pay the bill with the first 10
Recommendation- Spring Co. bought merchandise from All Co. with terms 2/10, n/30. Johanne Ring, the bookkeeper, forgot to pay the bill with the first 10 days. She went to Mel Ryan, the head accountant, who told her to backdate the check so that it looked like the bill was paid within the discount period. Johanne told Mel that she thought they could get away with it. Should Joanne and Mel backdate the check to take advantage of the discount? You make the call. Write down your specific recommendation to Joanne.
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