The Wheatland Company purchased merchandise on account from a supplier for $30,000, terms 1/10, n/30. The Wheatland Company returned $8,000 of the merchandise and received full credit.a. What is the amount of cash required for the payment within the discount period?b. Under a perpetual inventory system, what account is credited by The Wheatland Company to record the return?

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The Wheatland Company purchased merchandise on account from a supplier for $30,000, terms 1/10, n/30. The Wheatland Company returned $8,000 of the merchandise and received full credit.
a. What is the amount of cash required for the payment within the discount period?
b. Under a perpetual inventory system, what account is credited by The Wheatland Company to record the return?

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