Flynn Company uses a perpetual inventory system and had the following transactions during November:
-November 6 - Purchased $5,800 of inventory on account, terms 2/10, n/30.
-November 8 - Returned $800 of defective units and received full credit.
-November 15 - Paid the amount due.
-Use the information above to answer the following question.What journal entry will be recorded by Flynn Company on November 6?
A) Debit Inventory and credit Accounts Payable for $5,800
B) Debit Cost of Goods Sold and credit Accounts Payable for $5,684
C) Debit Purchases and credit Accounts Payable for $5,800
D) Debit Inventory and credit Accounts Payable for $5,684

Question

Quizplus · Accepted Answer

Flynn Company will record the purchase of inventory by debiting Inventory and crediting Accounts Payable for the full purchase amount of $5,800.

Flynn Company Uses a Perpetual Inventory System and Had the Following