A Company Purchased $10,000 of Merchandise on June 15 with Terms

Multiple Choice

A company purchased $10,000 of merchandise on June 15 with terms of 3/10, n/45, and FOB shipping point. The freight charge of $500 was paid by the seller and added to the sales invoice. On June 20, the company returned $800 of the merchandise. On June 24, it paid the balance owed for the merchandise taking any discount it is entitled to. The cash paid on June 24 equals:

A) $9,224.
B) $10,200.
C) $10,500.
D) $10,300.
E) $9,424.