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On march 12, masterson company, inc. sold merchandise in the amount of $7,800 to forsythe company, with credit terms of 2/10, n/30. the cost of the items sold is $4,500. masterson uses the gross method of accounting for sales and a perpetual inventory system. on march 15, forsythe was given an allowance of $600 on defective merchandise that had a cost of $350. forsythe pays the invoice on march 20, and takes the appropriate discount. the journal entry that masterson makes on march 20 is:
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On march 12, masterson company, inc. sold merchandise in the amount of $7,800 to forsythe company, w...
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