On August 8, 2023, Oriole shipped books invoiced at $30,000,000 (cost $24,000,000). Prepare the journal entry to record this transaction, including the expected returns. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles and Explanation August 8, 2023: Accounts Receivable Debit Credit
On August 8, 2023, Oriole shipped books invoiced at $30,000,000 (cost $24,000,000). Prepare the journal entry to record this transaction, including the expected returns. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles and Explanation August 8, 2023: Accounts Receivable Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.
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Transcribed Image Text:entries
Date
ugust 8, 2023
ugust 8, 2023
Account Titles and Explanation
Accounts Receivable
Sales Revenue
(To record sale on account)
Cost of Goods Sold
Inventory
(To record cost of goods sold)
eTextbook and Media
Debit
0001
Credit
30000000
24000000
Assistance Used
Transcribed Image Text:Current Attempt in Progress
Oriole Publishing Co. publishes college and university textbooks that are sold to bookstores on the following terms. Each title has a
fixed wholesale price, terms fo.b. shipping point, and payment is due 60 days after shipment. The retailer may return a maximum of
30% of an order at the retailer's expense. Sales are made only to retailers who have good credit ratings. Past experience indicates that
the normal return rate is 12% and the average collection period is 72 days. The company follows IFRS.
(c)
On August 8, 2023, Oriole shipped books invoiced at $30,000,000 (cost $24,000,000). Prepare the journal entry to record this
transaction, including the expected returns. (Credit account titles are automatically indented when the amount is entered. Do not indent
manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. List all debit entries before credit
entries.)
Date
ugust 8, 2023
Account Titles and Explanation
Accounts Receivable
Debit
Credit
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