A company purchased $2,000 of merchandise on July 5 with terms 2/10, n/30. On July 7, it returned $300 worth of merchandise. On July 12, it paid the full amount due. Assuming the company uses a perpetual inventory system, and records purchases using the gross method, the correct journal entry to record the payment on July 12 is:

The correct journal entry to record the payment on July 12 is:

Debit Accounts Payable $1,700

Credit Merchandise $34

Credit Cash $1,666

Explanation:

Credit terms of 2/10, n/30 means that 2% discount for the payment within 10 days and the full amount to be paid within 30 days.

On July 5:

Debit Merchandise $2,000

Credit Accounts payable $2,000

On July 7:

Debit Accounts payable $300

Credit Merchandise $300

On July 12, the company pays and takes the appropriate discount:

2% x ($2,000 - $300) = $34

The company uses a perpetual inventory system, and records purchases using the gross method.

The journal entry to record the payment:

Debit Accounts Payable $1,700

Credit Merchandise $34

Credit Cash $1,666

the first successful, urban blues recording, selling more than 75,000 copies, was made in year 1920.

mamie smith recorded the first commercially successful example of the urban blues,   with the recording of “crazy blues”."crazy blues" was recorded on august 10, 1920, in new york city. within a month of the release of “crazy blues” it had sold 75,000 copies.