Question

July		3		Purchase CDs on account from Wholesale Music for $2,150, terms 2/10, n/30.
July		4		Pay cash for freight charges related to the July 3 purchase from Wholesale Music, $110.
July		9		Return incorrectly ordered CDs to Wholesale Music and receive credit, $300.
July		11		Pay Wholesale Music in full.

July 03 Inventory 2,150 Accounts Payable 2,150 2 July 04 110 Inventory Cash 110 3 July 09 300 Accounts Payable Inventory 3000 July 11 Accounts Payable 1,850 Cash Sales Discounts

Answer 1

	Date	General journal	Debit	Credit
4.	July 11	Accounts payable	$1,850
		Cash		$1,813
		Inventory		$37

Final payment due = Purchase - Purchase returns

= 2,150-300

= $1,850

Discount = Final amount due x Discount rate

= 1,850 x 2%

= $37

Final payment = Final amount due - Discount

= 1,850-37

= $1,813

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Thanks!!!