Cullumber Corporation shipped $21,600 of merchandise on consignment to Oriole Company. Cullumber paid freight costs of $2,000. Oriole Company paid $450 for local advertising, which is reimbursable from Cullumber. By year-end, 59% of the merchandise had been sold for $19,900. Oriole notified Cullumber, retained a 9% commission, and remitted the cash due to Cullumber.Prepare Cullumber’s journal entry when the cash is received.
Cullumber Corporation shipped $21,600 of merchandise on consignment to Oriole Company. Cullumber paid freight costs of $2,000. Oriole Company paid $450 for local advertising, which is reimbursable from Cullumber. By year-end, 59% of the merchandise had been sold for $19,900. Oriole notified Cullumber, retained a 9% commission, and remitted the cash due to Cullumber.Prepare Cullumber’s journal entry when the cash is received.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Cullumber Corporation shipped $21,600 of merchandise on consignment to Oriole Company. Cullumber paid freight costs of $2,000. Oriole Company paid $450 for local advertising, which is reimbursable from Cullumber. By year-end, 59% of the merchandise had been sold for $19,900. Oriole notified Cullumber, retained a 9% commission, and remitted the cash due to Cullumber.
Prepare Cullumber’s
AI-Generated Solution
AI-generated content may present inaccurate or offensive content that does not represent bartleby’s views.
Unlock instant AI solutions
Tap the button
to generate a solution
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education