ELABORATE Hayes Company, an importer of cell phones, sold goods to Niko Cyber on August 1, 2018, at an invoice price of P12,000. To attract customers, the company sells on account with terms of 2/10, n/30. Niko gave a 30% down payment, got an allowance approved for two defective cell phones priced at P1,500 on August 4, and paid promptly its account on August 10. ACTIVITY 1: From the data presented above: a. Prepare journal entries in the books of Hayes, a non-VAT registered firm under the periodic method. b. Prepare journal entries, assuming Hayes is a VAT registered firm. VAT rate is 12%.
ELABORATE Hayes Company, an importer of cell phones, sold goods to Niko Cyber on August 1, 2018, at an invoice price of P12,000. To attract customers, the company sells on account with terms of 2/10, n/30. Niko gave a 30% down payment, got an allowance approved for two defective cell phones priced at P1,500 on August 4, and paid promptly its account on August 10. ACTIVITY 1: From the data presented above: a. Prepare journal entries in the books of Hayes, a non-VAT registered firm under the periodic method. b. Prepare journal entries, assuming Hayes is a VAT registered firm. VAT rate is 12%.
Chapter9: Accounting For Receivables
Section: Chapter Questions
Problem 4Q: American Signs allows customers to pay with their Jones credit card and cash. Jones charges American...
Related questions
Question
![ELABORATE
Hayes Company, an importer of cell phones, sold goods to Niko Cyber on August 1, 2018, at
an invoice price of P12,000. To attract customers, the company sells on account with terms of
2/10, n/30. Niko gave a 30% down payment, got an allowance approved for two defective
cell phones priced at P1,500 on August 4, and paid promptly its account on August 10.
ACTIVITY 1: From the data presented above:
a. Prepare journal entries in the books of Hayes, a non-VAT registered firm under
the periodic method.
b. Prepare journal entries, assuming Hayes is a VAT registered firm. VAT rate is
12%.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0cbd6b09-dae3-4bc9-9680-42aab4adb6f0%2F3768cad6-8230-4dd3-a49a-abd91cfbe9e0%2Fexjnlho_processed.jpeg&w=3840&q=75)
Transcribed Image Text:ELABORATE
Hayes Company, an importer of cell phones, sold goods to Niko Cyber on August 1, 2018, at
an invoice price of P12,000. To attract customers, the company sells on account with terms of
2/10, n/30. Niko gave a 30% down payment, got an allowance approved for two defective
cell phones priced at P1,500 on August 4, and paid promptly its account on August 10.
ACTIVITY 1: From the data presented above:
a. Prepare journal entries in the books of Hayes, a non-VAT registered firm under
the periodic method.
b. Prepare journal entries, assuming Hayes is a VAT registered firm. VAT rate is
12%.
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College