What is the last payment date

Question

Assignment:

Part A:In the following table, indicate how to increase or decrease (debit or credit) each account, and indicate its normal balance (debit or credit).

	Increased	Decreased	Normal
	by	by	Balance
	(debit	(debit	(debit
Title of Account	or credit)	or credit)	or credit)
Merchandise Inventory
Sales
Sales Returns and Allowances
Sales Discounts
Accounts Receivable
Purchases
Purchase Returns and Allowances
Purchase Discounts
Accounts Payable
Transportation-In

Part B: a. Silver Company purchased $ 56,000 of merchandise from Milton Company on account. Before paying its account, Silver Company returned damaged merchandise with an invoice price of $ 11,680. Assuming use of periodic inventory procedure, prepare entries on both companies' books to record both the purchase/sale and the return.

1. Show how any of the required entries would change assuming that Milton Company granted an allowance of $ 3,360 on the damaged goods instead of giving permission to return the merchandise.

Part C:What is the last payment date on which the cash discount can be taken on goods sold on March 5 for $ 51,200; terms 3/10/EOM, n/60? Assume that the bill is paid on this date and prepare the correct entries on both the buyer's and seller's books to record the payment.

Part D: You have purchased merchandise with a list price of $ 36,000. Because you are a wholesaler, you are granted a trade discount of 49.6 per cent. The cash discount terms are 2/EOM, n/60. How much will you remit if you pay the invoice by the end of the month of purchase? How much will discounts on payment you remit if you do not pay the invoice until the following month?