On October 5, Swifty Corporation buys merchandise for resale on account from Blue Spruce Corporation. The selling price of the goods is $5,030, and the cost to Blue Spruce Company is $3,270. On October 8, Swifty returns defective goods with a selling price of $690 and a cost of $240. It is anticipated that these goods can be resold at a discount at some point in the future for at least their cost of $240, if not more. Both companies use a periodic inventory system. (a) Record the transactions on the books of Swifty Corporation. (Credit account tities 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 Oct. 5 8 Debit Credit
On October 5, Swifty Corporation buys merchandise for resale on account from Blue Spruce Corporation. The selling price of the goods is $5,030, and the cost to Blue Spruce Company is $3,270. On October 8, Swifty returns defective goods with a selling price of $690 and a cost of $240. It is anticipated that these goods can be resold at a discount at some point in the future for at least their cost of $240, if not more. Both companies use a periodic inventory system. (a) Record the transactions on the books of Swifty Corporation. (Credit account tities 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 Oct. 5 8 Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
do not give solution in image
Transcribed Image Text:On October 5, Swifty Corporation buys merchandise for resale on account from Blue Spruce Corporation. The selling price of the
goods is $5,030, and the cost to Blue Spruce Company is $3,270. On October 8, Swifty returns defective goods with a selling price of
$690 and a cost of $240. It is anticipated that these goods can be resold at a discount at some point in the future for at least their cost
of $240, if not more. Both companies use a periodic inventory system.
(a)
Record the transactions on the books of Swifty Corporation. (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
Oct. 5
8
Debit
Credit
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education