On December 1, 2022, Pharoah Distributing Company had the following account balances. Debit Credit Cash Accounts Receivable Accumulated Depreciation- $6,700 $2,200 Equipment 4,100 Accounts Payable 4,000 Inventory 11,500 Salaries and Wages Payable 1,000 Supplies Equipment 1,200 Common Stock 15,000 22,000 Retained Earnings 23,300 $45,500 $45,500 During December, the company completed the following summary transactions. Paid $1,600 for salaries due employees, of which $600 is for December and $1,000 is for November salaries payable. Received $1,900 cash from customers in payment of account (no discount allowed). Dec. 6 8 10 Sold merchandise for cash $5,800. The cost of the merchandise sold was $3,900. 13 Purchased merchandise on account from Hecht Co. $7,000, terms 2/10, n/30. 15 Purchased supplies for cash $2,000. Sold merchandise on account $10,500, terms 3/10, n/30. The cost of the merchandise sold was $6,900. 18 20 Paid salaries $1,500. 23 Paid Hecht Co. in full, less discount. 27 Received collections in full, less discounts, from customers billed on December 18. a.) Journalize the December transactions using a perpetual inventory system.

On December 1, 2022, Pharoah Distributing Company had the following account balances. Debit Credit Cash Accounts Receivable Accumulated Depreciation- $6,700 $2,200 Equipment 4,100 Accounts Payable 4,000 Inventory 11,500 Salaries and Wages Payable 1,000 Supplies Equipment 1,200 Common Stock 15,000 22,000 Retained Earnings 23,300 $45,500 $45,500 During December, the company completed the following summary transactions. Paid $1,600 for salaries due employees, of which $600 is for December and $1,000 is for November salaries payable. Received $1,900 cash from customers in payment of account (no discount allowed). Dec. 6 8 10 Sold merchandise for cash $5,800. The cost of the merchandise sold was $3,900. 13 Purchased merchandise on account from Hecht Co. $7,000, terms 2/10, n/30. 15 Purchased supplies for cash $2,000. Sold merchandise on account $10,500, terms 3/10, n/30. The cost of the merchandise sold was $6,900. 18 20 Paid salaries $1,500. 23 Paid Hecht Co. in full, less discount. 27 Received collections in full, less discounts, from customers billed on December 18. a.) Journalize the December transactions using a perpetual inventory system.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter16: Retained Earnings And Earnings Per Share

Section: Chapter Questions

Problem 3MC: Prince Corporations accounts provided the following information at December 31, 2019: What should be...

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