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On December 1, 2020, Matthias Company had the account balances shown below. Cash Accounts Receivable Inventory Equipment Dec. 3 5 7 17 Debit 22 $4,500 4,000 *(3,000 x $0.60) The following transactions occurred during December. 1,800 20,400 $30,700 Accumulated Depreciation-Equipment Accounts Payable Common Stock Retained Earnings Credit $1,600 3,100 22,000 4,000 $30,700 Purchased 4,200 units of inventory on account at a cost of $0.76 per unit. Sold 4,100 units of inventory on account for $0.90 per unit. (Matthias sold 3,000 of the $0.60 units and 1,100 of the $0.76.) Granted the December 5 customer $90 credit for 100 units of inventory returned costing $60. These units were returned to inventory. Purchased 2,500 units of inventory for cash at $0.80 each. Sold 2,700 units of inventory on account for $0.95 per unit. (Matthias sold 2,700 of the $0.76 units.)

On December 1, 2020, Matthias Company had the account balances shown below. Cash Accounts Receivable Inventory Equipment Dec. 3 5 7 17 Debit 22 $4,500 4,000 *(3,000 x $0.60) The following transactions occurred during December. 1,800 20,400 $30,700 Accumulated Depreciation-Equipment Accounts Payable Common Stock Retained Earnings Credit $1,600 3,100 22,000 4,000 $30,700 Purchased 4,200 units of inventory on account at a cost of $0.76 per unit. Sold 4,100 units of inventory on account for $0.90 per unit. (Matthias sold 3,000 of the $0.60 units and 1,100 of the $0.76.) Granted the December 5 customer $90 credit for 100 units of inventory returned costing $60. These units were returned to inventory. Purchased 2,500 units of inventory for cash at $0.80 each. Sold 2,700 units of inventory on account for $0.95 per unit. (Matthias sold 2,700 of the $0.76 units.)

FINANCIAL ACCOUNTING
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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Ef 14.

Journalize the December transactions, assuming Matthias uses the perpetual inventory method. (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.) Date Account Titles and Explanation (To record sales revenue) (To record cost of goods sold) Debit Credit
Transcribed Image Text:Journalize the December transactions, assuming Matthias uses the perpetual inventory method. (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.) Date Account Titles and Explanation (To record sales revenue) (To record cost of goods sold) Debit Credit
On December 1, 2020, Matthias Company had the account balances shown below. Cash Accounts Receivable Inventory Equipment Dec. 3 5 7 17 Debit 22 $4,500 4,000 *(3,000 x $0.60) The following transactions occurred during December. 1,800 20,400 $30,700 Accumulated Depreciation-Equipment Accounts Payable Common Stock Retained Earnings Credit $1,600 3,100 22,000 4,000 $30,700 Purchased 4,200 units of inventory on account at a cost of $0.76 per unit. Sold 4,100 units of inventory on account for $0.90 per unit. (Matthias sold 3,000 of the $0.60 units and 1,100 of the $0.76.) Granted the December 5 customer $90 credit for 100 units of inventory returned costing $60. These units were returned to inventory. Purchased 2,500 units of inventory for cash at $0.80 each. Sold 2,700 units of inventory on account for $0.95 per unit. (Matthias sold 2,700 of the $0.76 units.)
Transcribed Image Text:On December 1, 2020, Matthias Company had the account balances shown below. Cash Accounts Receivable Inventory Equipment Dec. 3 5 7 17 Debit 22 $4,500 4,000 *(3,000 x $0.60) The following transactions occurred during December. 1,800 20,400 $30,700 Accumulated Depreciation-Equipment Accounts Payable Common Stock Retained Earnings Credit $1,600 3,100 22,000 4,000 $30,700 Purchased 4,200 units of inventory on account at a cost of $0.76 per unit. Sold 4,100 units of inventory on account for $0.90 per unit. (Matthias sold 3,000 of the $0.60 units and 1,100 of the $0.76.) Granted the December 5 customer $90 credit for 100 units of inventory returned costing $60. These units were returned to inventory. Purchased 2,500 units of inventory for cash at $0.80 each. Sold 2,700 units of inventory on account for $0.95 per unit. (Matthias sold 2,700 of the $0.76 units.)
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