May 1. Sold merchandise on account to Beijing Palace Co., $36,730. The cost of the merchandise sold was $25,310. Aug. 30. Received $11,950 from Beijing Palace Co. and wrote off the remainder owed on the sale of May 1 as uncollectible. Dec. 8. Reinstated the account of Beijing Palace Co. that had been written off on August 30 and received $24,780 cash in full payment. Required: Journalize the above transactions in the accounts of Sedona Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables. Refer to the Chart of Accounts for exact wording of account titles.
May 1. Sold merchandise on account to Beijing Palace Co., $36,730. The cost of the merchandise sold was $25,310. Aug. 30. Received $11,950 from Beijing Palace Co. and wrote off the remainder owed on the sale of May 1 as uncollectible. Dec. 8. Reinstated the account of Beijing Palace Co. that had been written off on August 30 and received $24,780 cash in full payment. Required: Journalize the above transactions in the accounts of Sedona Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables. Refer to the Chart of Accounts for exact wording of account titles.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
| May | 1. | Sold merchandise on account to Beijing Palace Co., $36,730. The cost of the merchandise sold was $25,310. |
| Aug. | 30. | Received $11,950 from Beijing Palace Co. and wrote off the remainder owed on the sale of May 1 as uncollectible. |
| Dec. | 8. | Reinstated the account of Beijing Palace Co. that had been written off on August 30 and received $24,780 cash in full payment. |
Required:
| Journalize the above transactions in the accounts of Sedona Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables. Refer to the Chart of Accounts for exact wording of account titles. |
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