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Question - On March 12, Ken Company sold merchandise in the amount of $7,800 to Barbie Company, with credit terms of 2/10, n/30. The cost of the items sold is $4,500. Ken uses the perpetual inventory system and the gross method of accounting for sales. On March 15, Barbie returns some of the merchandise. The selling price of the merchandise is $600 and the cost of the merchandise returned is $350. Barbie pays the invoice on March 20, and takes the appropriate discount. Compute the amount that Ken receives from Barbie on March 20?
a. $7,800.
b. $7,200.
c. $7,644.
d. $7,044.
e. $7,056.
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