Moises Corporation has two branch, Branch Ollie and Branch Ver. The Home Office shipped P 5,000 of merchandise to Branch Ollie and prepaid the freight charges of P 300. A short time thereafter, Branch Ollie was instructed to reship this merchandise to Branch Ver at a prepaid freight cost of P 500. Freight charges for this merchandise normally cost P 600 when shipped from the home office directly to Branch Ver. Required: a. Prepare journal entries in the books of Branch Ollie. b. Prepare journal entries in the books of Branch Ver. c. Prepare journal entries for the home office.

Moises Corporation has two branch, Branch Ollie and Branch Ver. The Home Office shipped P 5,000 of merchandise to Branch Ollie and prepaid the freight charges of P 300. A short time thereafter, Branch Ollie was instructed to reship this merchandise to Branch Ver at a prepaid freight cost of P 500. Freight charges for this merchandise normally cost P 600 when shipped from the home office directly to Branch Ver. Required: a. Prepare journal entries in the books of Branch Ollie. b. Prepare journal entries in the books of Branch Ver. c. Prepare journal entries for the home office.

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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This information relates to Marin Co. 1. 2. 3. 4. 5. (a) On April 5, purchased merchandise on account from Cullumber Company for $27,900, terms 2/10, n/30. On April 6, paid freight costs of $670 on merchandise purchased from Cullumber. On April 7, purchased equipment on account for $31,600. On April 8, returned $3,700 of April 5 merchandise to Cullumber Company. On April 15, paid the amount due to Cullumber Company in full. - Your answer is partially correct. Prepare the journal entries to record the transactions listed above on Marin Co's books. Marin Co. uses a perpetual inventory system. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. List all debit entries before credit entries.) Date April 5 April 6 V Account Titles and Explanation 100 Debit Credit
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An item was shipped from a supplier under FOB shipping point. The invoice in the amount of $2,000 included payment terms of 2/10, n/30. When the invoice was paid, a purchase discount in the amount of $40 was taken. Other details relating to the purchase of this item included the following: shipping charges of $300, storage fees of $50, and insurance premium of $100. The cost of this inventory item is $1,960 $2,410 $2,401 $2,404
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The following transactions are for Wildhorse Company. 1. On December 3, Wildhorse Company sold $584,300 of merchandise to Swifty Co., on account, terms 2/10, n/30, FOB destination. Wildhorse paid $370 for freight charges. The cost of the merchandise sold was $359,300. 2. On December 8, Swifty Co. was granted an allowance of $21,300 for merchandise purchased on December 3. 3. On December 13, Wildhorse Company received the balance due from Swifty Co. 1. Prepare the journal entries to record these transactions on the books of Wildhorse Company using a perpetual inventory system 2. Assume that Wildhorse Company received the balance due from Swifty Co. on January 2 of the following year instead of December 13. Prepare the journal entry to record the receipt of payment on January 2.
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The related data: The following transactions of Marian Company for the month of June are as follows: 1. Purchase merchandise on account of 200,000 with freight of 20,000 of goods to supplier. 150,000 to various customers with a markup of 30,000 5,000 2. Upon detailed inspection, Marian returned 3. Sold merchandise on account amounting to 4. A customer return goods with sales price of Requirement (1) Prepare the journal entries under Periodic & Perpetual; (2) Determine the ending balance of merchandise inventory under Periodic & Perpetual 50% Note: The freight is excluded from the P200,000 merchandise. The mark-up of 50% is based on cost. You may follow the format below. Periodic System Perpetual System Credit Debit 1. Purchase of merchandise on account Debit Credit 2. Return of goods 3. Sale of merchandise on account and cost of sale 4. Return of merchandise sold 5. Adjustment of ending inventory
Journalize the transaction in the books of Home Office, Branch 1, and Branch 2.
Travis Company purchased merchandise on account from a supplier for $12,300, terms 2/10, net 30. Travis Company paid for the merchandise within the discount period. Under a perpetual inventory system, record the journal entries required for the above transactions. If an amount box does not require an entry, leave it blank. a. b.