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Juniper Company uses a perpetual inventory system and the gross method of accounting for purchases. The company purchased $9,750 of merchandise on August 7 with terms 1/10, n/30. On August 11, it returned $1,500 worth of merchandise. On August 16, it paid the full amount due. The amount of the cash paid on August 16 is:.
A. Debit Merchandise Inventory $1500; Credit Sales Returns $1500.
B. Debit Accounts Payable $1500; Credit Purchase Returns $1500.
C. Debit Accounts Payable $1500; Credit Cash $1500.
D. Debit Accounts Payable $1500; Credit Merchandise Inventory $1500.
E. Debit Merchandise Inventory $1500; Credit Cash $1500.
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Juniper Company uses a perpetual inventory system and the gross method of accounting for purchases....
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