On July 22,a Company Purchased Merchandise Inventory at a Cost

Multiple Choice

On July 22,a company purchased merchandise inventory at a cost of $5,250 with credit terms 2/10,net 30.If the company pays for the purchase on August 7,what would be the appropriate journal entry?

A)
$$\begin{array} { | c | c | c | } \hline \text { Merchandise Inventory } & 5,250 & \\\hline \text { Accounts Payable } & & 5,250 \\\hline\end{array}$$
B)
$\begin{array}{|c|c|c|}\hline \text { Accounts Payable } & 5,250 & \\\hline \text { Merchandise Inventory } & & 5,250 \\\hline\end{array}$

C)
$\begin{array}{|l|l|l|}\hline \text { Accounts Payable } & 5,250 & \\\hline \text { Cash } & & 5,250 \\\hline\end{array}$

D)
$$\begin{array} { | c | c | c | } \hline \text { Accounts Payable } & 5,145 & \\\hline \text { Cash } & & 5,145 \\\hline\end{array}$$
E)
$$\begin{array} { | l | r | r | } \hline \text { Accounts Payable } & 5,250 & \\\hline \text { Merchandise Inventory } & & 105 \\\hline \text { Cash } & & 5,145 \\\hline\end{array}$$