On March 20, Y3; Aylmer Inc entered into a consignment agreement with Belmont Services Corporation Aylmer had excess merchandise to sell but did not have the capacity to sell the items. Belmont agree to sell the items on behalf of Aylmer for a 22% commission of the sales price Other information relating to the items is below: The items that Aylmer consigned Belmont to sell on their behalf cost Belmont sold 100% of the items within 3-months of receiving the items for 84,500 106,800 Aylmer had to ship the items to Belmont - shipping happened on March 20th. Since there were heavy items, the total cost of shipping added up to 2,300 Belmont and Aylmer settled once all the items were sold on July 20, Y3 1. Prepare all entries for Aylmer to account for the transactions. 2. Prepare all entries for Belmont to account for the transactions.
On March 20, Y3; Aylmer Inc entered into a consignment agreement with Belmont Services Corporation Aylmer had excess merchandise to sell but did not have the capacity to sell the items. Belmont agree to sell the items on behalf of Aylmer for a 22% commission of the sales price Other information relating to the items is below: The items that Aylmer consigned Belmont to sell on their behalf cost Belmont sold 100% of the items within 3-months of receiving the items for 84,500 106,800 Aylmer had to ship the items to Belmont - shipping happened on March 20th. Since there were heavy items, the total cost of shipping added up to 2,300 Belmont and Aylmer settled once all the items were sold on July 20, Y3 1. Prepare all entries for Aylmer to account for the transactions. 2. Prepare all entries for Belmont to account for the transactions.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On March 20, Y3; Aylmer Inc entered into a consignment agreement with Belmont Services Corporation
Aylmer had excess merchandise to sell but did not have the capacity to sell the items.
Belmont agree to sell the items on behalf of Aylmer for a 22% commission of the sales price
Other information relating to the items is below:
The items that Aylmer consigned Belmont to sell on their behalf cost
84,500
Belmont sold 100% of the items within 3-months of receiving the items for
106,800
Aylmer had to ship the items to Belmont - shipping happened on March 20th.
Since there were heavy items, the total cost of shipping added up to
2,300
Belmont and Aylmer settled once all the items were sold on July 20, Y3
REQUIRED
1. Prepare all entries for Aylmer to account for the transactions.
2. Prepare all entries for Belmont to account for the transactions.
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