Garth purchased merchandise inventory costing $24,000 with credit terms of 2/10, net 30. Eight days...
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Accounting
Garth purchased merchandise inventory costing $24,000 with credit terms of 2/10, net 30. Eight days after the purchase, Garth paid one-half of the outstanding obligation. The remaining amount was paid 30 days after the date of purchase.
Instructions:
Prepare the journal entries Garth would make for the purchase and the two subsequent payments using:
a. the gross method
b. the net method
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