Question

Jake’s Market recorded the following events involving a recent purchase of merchandise: Received goods for $60000, terms 2/10, n/30. Returned $1200 of the shipment for credit. Paid $300 freight on the shipment. Paid the invoice within the discount period. As a result of these events, the company’s inventory increased by $57924. $59100. $57624. $57918.

Answer 1

Answer:

$57924

Explanation:

(60000- 1200 x.98) + 300= $57924

Answer 2

Answer:

$57,924

Explanation:

The discount will be computed and calculated on the sum of inventory which would exclude the freight paid Calculate the merchandise inventory increase as follows:

Inventory increase = (60,000 — 1200) x (I — 0.02)+300

= (58,800 x 0.98)+300

57624+300 = $57,924

The merchandise inventory will inure by $57,924.