Exercise 7-3 Sales on store credit card LO C1 Z-Mart uses the perpetual Inventory system and has its own credit card. Z-Mart charges a per-month interest fee for any unpaid balance on its store credit card at each month-end. Apr. 30 z-Mart sold merchandise for $2,400 (that had cost $1,350) and accepted the customer's Z-Mart store credit card. May 31 Z-Mart recorded $6 of interest earned from its store credit card as of this month-end. Prepare journal entries to record the above credit card transactions of Z-Mart.

Exercise 7-3 Sales on store credit card LO C1 Z-Mart uses the perpetual Inventory system and has its own credit card. Z-Mart charges a per-month interest fee for any unpaid balance on its store credit card at each month-end. Apr. 30 z-Mart sold merchandise for $2,400 (that had cost $1,350) and accepted the customer's Z-Mart store credit card. May 31 Z-Mart recorded $6 of interest earned from its store credit card as of this month-end. Prepare journal entries to record the above credit card transactions of Z-Mart.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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ambridge IGCSE and O Level Accounting Exam-style questions 1 Ava maintains a full set of books of prime entry. a State one advantage of maintaining purchases and sales journals. 3 Ravi is a trader. His February 2 So 4 Bo 10 Re make entries in her books of prime entry). 14 So Business document 19 B Book of prime entry 20 D sales journal 21 F purchases journal sales returns journal Enter these a February 20 purchases returns journal b Write up the sales, purch her ledger. The first one has been completed as an example. Ledger entry sales account It is not ne Book of prime entry credit sales journal purchases journal sales returns journal purchases returns journal 4 In which book A purchases C sales jour 5 Which entrie d Name two other books of prime entry which Ava may use. e Name the ledger in which Ava will maintain the following accounts: i sales account Acco A indiv ii purchases returns account iii Charles (a credit customer) B indiv indi pur Ava provided the following information…
1/Muscat company mart has the following purchase transactions for the month of March 2016. March 5 Purchased goods on credit from Ibri mart: 30 Kettles @ RO 30 each 40 electrical equipment @ RO 45 each Trade discount of 4% March 6 Purchased goods from NM mart and paid cash of RO 6,500 Calculate the total amount which is transferred to purchases day book. a. RO 9,092 b. RO 2,592 c. RO 2,700 d. RO 2,808
Journalize the following transaction for Tesco Company during the month of May 2017. May 1st, Purchased merchandise inventory from Sainsbury Co. list price $62,000, trade discount 15%, FOB shipping point, prepaid fright cost $650 add it to the invoice. Term of credit 1/15, n/45. May 3rd, Sold merchandise Inventory to ASDA Supermarket list price $85,000 Trade discount 10%, rate of sales tax 5%. FOB shipping point, Paid fright cost $200. Cost of merchandise sold $45,000. Term of credit 2/10, n/30. May 5th, ASDA Supermarket return part of merchandise purchased on 3rd of May list price $15,000 trade discount 10%. May 6th, Sold merchandise inventory to Morrison Ltd list price $42,000. FOB destination, term of credit 1/10, n/30, Cost of goods sold $30,000. Rate of sale tax 10%. May 7th, We return part of the goods purchased on May 1st to Sainsbury Co. list price $6000, trade discount 15% May 9th, Received full Payment from ASDA Supermarket for sale made on May 3rd. May 11th, Made full…
Exercise 7-3 Sales on store credit card LO C1 Z-Mart uses the perpetual inventory system and has its own credit card. Z-Mart charges a per-month interest fee for any unpaid balance on its store credit card at each month-end. Apr. 30 Z-Mart sold merchandise for $2,800 (that had cost $1,550) and accepted the customer's Z-Mart store credit card. May 31 Z-Mart recorded $3 of interest earned from its store credit card as of this month-end. Prepare journal entries to record the above credit card transactions of Z-Mart. View transaction list Journal entry worksheet 1 3 Z-Mart sold merchandise for $2,800 and accepted the customer's Z-Mart store credit card. Note: Enter debits before credits. Date General Journal Debit Credit Apr 30 Record entry Clear entry View general journal
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RO eBook Check My Work Cost of Trade Credit A large retailer obtains merchandise under the credit terms of 2/15, net 35, but routinely takes 70 days to pay its bills. (Because the retailer is an important customer, suppliers allow the firm to stretch its credit terms.) What is the retailer's effective cost of trade credit? Assume a 365-day year. Do not round intermediate calculations. Round your answer to two decimal places.
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