Sales-related transactionsAfter the amount due on a sale of $28,000, terms 2/10, n/eom, is receivedfrom a customer within the discount period, the seller consents to thereturn of the entire shipment for a cash refund. The cost of themerchandise returned is $16,800. (A) What is the amount of the refundowed to the customer? (B) Journalize the entries made by the seller torecord the return and the refund.

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter6: Merchandising Transactions
Section: Chapter Questions
Problem 17Q: A seller sells $800 worth of goods on credit to a customer, with a cost to the seller of $300....
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Sales-related transactions
After the amount due on a sale of $28,000, terms 2/10, n/eom, is received
from a customer within the discount period, the seller consents to the
return of the entire shipment for a cash refund. The cost of the
merchandise returned is $16,800. (A) What is the amount of the refund
owed to the customer? (B) Journalize the entries made by the seller to
record the return and the refund.

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