9. Butterfly, Inc, purchased merchandise from a supplier on October 1, 2020, for $50,000 on account, terms 1/10, n/30. What entry would Butterfly use to record this purchase if the company uses perpetual inventory system. Accounts Payable a. 50,000 Inventory 50,000 b. Inventory 49,500 Accounts Payable 49,500 Purchases 49,500| с. Accounts Payable 49,500 d. Inventory 50,000 Accounts Payable 50,000

9. Butterfly, Inc, purchased merchandise from a supplier on October 1, 2020, for $50,000 on account, terms 1/10, n/30. What entry would Butterfly use to record this purchase if the company uses perpetual inventory system. Accounts Payable a. 50,000 Inventory 50,000 b. Inventory 49,500 Accounts Payable 49,500 Purchases 49,500| с. Accounts Payable 49,500 d. Inventory 50,000 Accounts Payable 50,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

9. Butterfly, Inc, purchased merchandise from a supplier on October 1, 2020, for $50,000 on account, terms 1/10,
n/30. What entry would Butterfly use to record this purchase if the company uses perpetual inventory system.
Accounts Payable
Inventory
a.
50,000
50,000
b. Inventory
49,500
Accounts Payable
49,500
с.
Purchases
49,500||
Accounts Payable
49,500
d. Inventory
50,000
Accounts Payable
50,000

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