Goods costing $2,400 are purchased on account on July 15 with credit terms of 1/10, n/30. On July 18,
a $400 credit memo is received from the supplier for damaged goods. Give the journal entry on July 24 to record payment of the balance due within the discount period using a perpetual inventory system.
The problem is asking for the date, the account titles for the journal entry, and the amounts to be debited and credited. I have the date and the accounts. I also have the Accounts Payable amount. I'm lost how the Inventory and Cash accounts are calulated.
DATE ACCOUNT TITLES/EXPLANATION DEBIT CREDIT
July 24th - Accounts Payable 2000