Questions # 21-23 are based on the information below: Wicker Inc. has the following transactions during March: March 3 March 5 March 6 March 12 March 29 Purchases inventory on account for $3,500, terms 2/10, n/30. Pays freight costs of $200 on inventory purchased on March 3. Returns inventory with a cost of $500. A. $60 B. $70 C. $56 D. $84 Pays the full amount due to supplier. Sells all inventory purchased on March 3 (less those returned on March 6) for $5,000 on account. 21. On March 12, how much is the purchase discount? 22. How much cash does Wicker pay to the supplier on March 12? A. $2,936 B. $2,930 C. $2,940 D. $3,000

Questions # 21-23 are based on the information below: Wicker Inc. has the following transactions during March: March 3 March 5 March 6 March 12 March 29 Purchases inventory on account for $3,500, terms 2/10, n/30. Pays freight costs of $200 on inventory purchased on March 3. Returns inventory with a cost of $500. A. $60 B. $70 C. $56 D. $84 Pays the full amount due to supplier. Sells all inventory purchased on March 3 (less those returned on March 6) for $5,000 on account. 21. On March 12, how much is the purchase discount? 22. How much cash does Wicker pay to the supplier on March 12? A. $2,936 B. $2,930 C. $2,940 D. $3,000

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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