On May 1, 2023, People's Networks sold computer networking supplies to Florida Autos for $46,100. The cost of the supplies is $20,745. Instead of paying immediately, Florida Autos signed a note receivable with 8% annual interest, payable in eight months with the principle amount. People's Networks has a year end of October 31. Do not enter dollar signs or commas in the input boxes. Round all answers to the nearest whole number. For transaction with two debits or credits, enter the debit accounts in alphabetical order followed by the credit accounts in alphabetical order. a) Record the journal entry when the sale is made; assume People's Networks uses the perpetual inventory system. Date May 1 May 1 Account Title and Explanation Notes Payable + Notes Receivable To record sales for notes receivable ♦ To record cost of goods sold ♦ Debit Credit

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On May 1, 2023, People's Networks sold computer networking supplies to Florida Autos for $46,100. The cost of the supplies is $20,745. Instead of paying
immediately, Florida Autos signed a note receivable with 8% annual interest, payable in eight months with the principle amount. People's Networks has a year end
of October 31.
Do not enter dollar signs or commas in the input boxes.
Round all answers to the nearest whole number.
For transaction with two debits or credits, enter the debit accounts in alphabetical order followed by the credit accounts in alphabetical order.
a) Record the journal entry when the sale is made; assume People's Networks uses the perpetual inventory system.
Date
May 1
May 1
Account Title and Explanation
Notes Payable
+
Notes Receivable
To record sales for notes receivable
◆
To record cost of goods sold
♦
+
Debit
Credit
Transcribed Image Text:On May 1, 2023, People's Networks sold computer networking supplies to Florida Autos for $46,100. The cost of the supplies is $20,745. Instead of paying immediately, Florida Autos signed a note receivable with 8% annual interest, payable in eight months with the principle amount. People's Networks has a year end of October 31. Do not enter dollar signs or commas in the input boxes. Round all answers to the nearest whole number. For transaction with two debits or credits, enter the debit accounts in alphabetical order followed by the credit accounts in alphabetical order. a) Record the journal entry when the sale is made; assume People's Networks uses the perpetual inventory system. Date May 1 May 1 Account Title and Explanation Notes Payable + Notes Receivable To record sales for notes receivable ◆ To record cost of goods sold ♦ + Debit Credit
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