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Question 1: TY Company purchases $14,000 of inventory on August 3rd with terms 2/10, n/30. They issue a check on August 10th to pay their balance. What is the journal entry to record this payment?
Point A- A debit to Accounts Payable for $14,000 and a credit to Cash for $14,000
Point B- A debit to Accounts Payable for $14,000 and a credit to Cash for $13,720 and a credit to Inventory for $280.
Point C- A debit to Accounts Payable for $13,720 and a credit to Cash for $13,720.
Point D- None of the above
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