On June 3, Marigold Company sold to Chester Company merchandise having a sale price of $3,800 with terms of 4/10, n/60, f.o.b.shipping point. An invoice totalling $91, terms n/30, was received by Chester on June 8 from John Booth Transport Service for thefreight cost. On June 12, the company received a check for the balance due from Chester Company.(a)Prepare journal entries on the Marigold Company books to record all the events noted above under each of the following bases.(1)(2)No.Your answer is partially correct.(If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indentedwhen the amount is entered. Do not indent manually. List all debit entries before credit entries. Record journal entries in the order presentedin the problem.)(1)(2)Sales and receivables are entered at gross selling price.Sales and receivables are entered at net of cash discounts.DateJune 3June 3June 12June 3Account Titles and ExplanationAccounts ReceivableSales RevenueFreight-OutCashNo EntryCashSales DiscountsAccounts ReceivableNo EntryDebit3800923648152C

Rules for EntriesPersonal Account: Related to Person or Firm.Receiver will be debited and Giver will…

On June 3, Marigold Company sold to Chester Company merchandise having a sale price of $3,800 with terms of 4/10, n/60, f.o.b. shipping point. An invoice totalling $91, terms n/30, was received by Chester on June 8 from John Booth Transport Service for the freight cost. On June 12, the company received a check for the balance due from Chester Company.

On June 3, Marigold Company sold to Chester Company merchandise having a sale price of $3,800 with terms of 4/10, n/60, f.o.b. shipping point. An invoice totalling $91, terms n/30, was received by Chester on June 8 from John Booth Transport Service for the freight cost. On June 12, the company received a check for the balance due from Chester Company.

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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