The Discounts Lost Account Is Used

Multiple Choice

The Discounts Lost account is used:

A) With the gross method of recording purchases to highlight the value of purchase discounts taken.
B) With the gross method of recording purchases to highlight the value of purchase discounts available but not taken.
C) To note situations where the accounting department has lost or misplaced paperwork relating to inventory purchases.
D) With the net method of recording purchases to highlight the value of purchase discounts taken.
E) With the net method of recording purchases to highlight the value of purchase discounts available but not taken.