On January 2, Oak Ltd. sold merchandise on account to R. Daniel for $53,000, terms n/30. The company uses a perpetual inventory system and the merchandise originally cost $31,300. On February 1, R. Daniel gave Oak a five-month, 6% note in settlement of this account. Interest is due at the beginning of each month, starting March 1. On April 30, Oak's year end, annual adjusting entries were made. On July 1, R. Daniel paid the note and any remaining interest. Prepare the journal entries for Oak to record the transactions only on the dates listed above. (List all debit entries before credit entries. 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 Debit Credit (To record sales) (To record cost of merchandise sold) >

On January 2, Oak Ltd. sold merchandise on account to R. Daniel for $53,000, terms n/30. The company uses a perpetual inventory system and the merchandise originally cost $31,300. On February 1, R. Daniel gave Oak a five-month, 6% note in settlement of this account. Interest is due at the beginning of each month, starting March 1. On April 30, Oak's year end, annual adjusting entries were made. On July 1, R. Daniel paid the note and any remaining interest. Prepare the journal entries for Oak to record the transactions only on the dates listed above. (List all debit entries before credit entries. 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 Debit Credit (To record sales) (To record cost of merchandise sold) >

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Description: On January 2, Oak Ltd. sold merchandise on account to R. Daniel for $53,000, terms n/30. The company uses a perpetual inventorysystem and the merchandise originally cost $31,300. On February 1, R. Daniel gave Oak a five-month, 6% note in settlement

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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