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(Solved): On May 1 , a company purchased inventory costing \( \$ 2,000 \) on account with terms \( 2 / 10, \ ...
On May 1 , a company purchased inventory costing \( \$ 2,000 \) on account with terms \( 2 / 10, \mathrm{n} / 30 \). On May 8 , the company pays for this inventory and records which of the following using a perpetual inventory system?
Multiple Choice Option 1 Option 2 Option 3 Option 4
Expert Answer
Inventory payment term is 2/10, which means if they pay within 10 days, they'll get a discount of 2%