Reference no: EM132818039

Problem 1: The entry to record a payment on a P15,000 account within the 2% discount period would include a

a. credit to Accounts Payable for P15,000.

b. credit to Purchases Discounts for P300.

C. debit to Accounts Payable for P14,700.

d. debit to Cash for P15,000

Problem 2: A P5,000 purchases on account was made. The entry to record the payment on account after the expiration of the 2% discount period would include a

a. credit to Accounts Payable for P4,900

b. credit to Cash for P4,900.

C. debit to Accounts Payable for P5,000.

d. debit to Purchases Discounts for P100.

Problem 3: Under a periodic inventory system, the entry to record a purchase of P60,000, with terms of 2/10, n/30 would include a

a. credit to Accounts Payable for P60,000.

b. credit to Purchases for P60,000.

C. debit to Accounts Payable for P58,800.

d. debit to Purchases Discounts for P1,200