Question

$7,000 of merchandise inventory was ordered on September 2, 2009 2. $3,000 of this merchandise was received on September 5, 2009 3. On September 6, 2009, an invoice dated September 4, 2009, with terms of 3/10, net 30 for $3,250 which included a $250 prepaid freight cost, was received. 4. On September 10, 2009, $800 of the merchandise was returned to the seller. Based on the above information, what would be recorded as net purchases amount after all of the transactions have been recorded

Answer 1

the amount of the net purchase is $2,384

Step-by-step explanation:

The computation of the amount of the net purchase is shown below:

Net purchases is

= purchases - purchase Discount - purchase returns

= $3,250 - ($3,250 - $250 - $800) × 3% - $800

= $3,250 - $66 - $800

= $2,384

hence, the amount of the net purchase is $2,384

Basically the above formula would be used