Exercise Two: The following transactions were completed by Marina Company during the month of July 2014. July 1 Sold merchandise to Lalo Company for $1,000, terms 2/10, n/30 that has a cost of $800. 2 Purchased merchandise from Steve Company for $4,000, terms 3/10, n/30. 3 Granted $100 credit to Lalo Company for merchandise returned, costing $80. 5 Purchased merchandise 'from Roni Company for $5,000, terms 3/10, n/30, FOB shipping point. On this date, the appropriate party paid $200 for freight. 10 Received payment from Lalo Company for July 1 sales. 11 Received $500 credit from Roni Company for merchandise returned. 13 Paid Steve Company in full for purchase of July 2. 14 Paid Roni Company in full for purchase of July 5. Instructions: 1) Journalize the above merchandizing activities for the month of July in the books of Marina Company using a periodic inventory system. 2) Journalize the above merchandizing activities for the month of July in the books of Marina Company using a perpetual inventory system.

Exercise Two: The following transactions were completed by Marina Company during the month of July 2014. July 1 Sold merchandise to Lalo Company for $1,000, terms 2/10, n/30 that has a cost of $800. 2 Purchased merchandise from Steve Company for $4,000, terms 3/10, n/30. 3 Granted $100 credit to Lalo Company for merchandise returned, costing $80. 5 Purchased merchandise 'from Roni Company for $5,000, terms 3/10, n/30, FOB shipping point. On this date, the appropriate party paid $200 for freight. 10 Received payment from Lalo Company for July 1 sales. 11 Received $500 credit from Roni Company for merchandise returned. 13 Paid Steve Company in full for purchase of July 2. 14 Paid Roni Company in full for purchase of July 5. Instructions: 1) Journalize the above merchandizing activities for the month of July in the books of Marina Company using a periodic inventory system. 2) Journalize the above merchandizing activities for the month of July in the books of Marina Company using a perpetual inventory system.

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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