need help with accountin

Accounting
Tutor: None Selected Time limit: 1 Day

On February 12, Clare purchased $400 of merchandise on account from Larsen’s Accessories, terms 2/10, n/30. The goods were shipped F.O.B. destination. The freight charge was $40. The amount to be recorded in the Accounts Payable Subsidiary ledger is

A. $392.
 
 
B. $408.
 
 
C. $400.
 
 
D. $440.
 

Apr 26th, 2015

C. 400

FOB destination means that the seller pays for shipping; this will not be an extra charge to you.

The discount is usually recorded when taken, unless policy is otherwise. In this case it does not state otherwise, so accounts payable will be credited $400.

Apr 26th, 2015

Thank you so much!

Apr 26th, 2015

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Apr 26th, 2015
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Apr 26th, 2015
Feb 19th, 2017
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