Question: Using the information in M6-12, prepare the journal entries needed at the time of sale and collection, assuming the company uses a perpetual inventory system.

Using the information in M6-12, prepare the journal entries needed at the time of sale and collection, assuming the company uses a perpetual inventory system.
M6-12
Merchandise costing $2,000 is sold for $3,000 on terms 2/10, n/30. If the buyer pays within the discount period, what amount will be reported on the income statement as net sales and as gross profit?

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