On September 14, 2022, Carla Vista Company sells merchandise valued at $42500 on account to Pacifica Inc. with terms 5/10, n/30. Both Carla Vista and Pacifica use the periodic inventory system. Pacifica remits payment to Sampson on September 23. Carla Vista's entry on that date is: Cash Sales Discounts Accounts Payable Cash Sales Discounts Accounts Receivable Accounts Receivable Cash Purchase Discounts Cash 40375 2125 40375 2125 42500 40375 42500 42500 40775 1725

On September 14, 2022, Carla Vista Company sells merchandise valued at $42500 on account to Pacifica Inc. with terms 5/10, n/30. Both Carla Vista and Pacifica use the periodic inventory system. Pacifica remits payment to Sampson on September 23. Carla Vista's entry on that date is: Cash Sales Discounts Accounts Payable Cash Sales Discounts Accounts Receivable Accounts Receivable Cash Purchase Discounts Cash 40375 2125 40375 2125 42500 40375 42500 42500 40775 1725

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Orange Co. is a customer of Watermelon Co. On June 17, 2022 Orange Co. returned back the merchandise inventory to Watermelon Co., in which the sales price was $370, on account. The COGS was $290. According to Perpetual Method, the correct record for Watermelon Co. must be Select one: O a. Account Receivable $290 on Credit O b. Merchandise Inventory $370 on Credit O c. Cost of Goods Sold $290 on Debit O d. Sales Returns & Allowances $370 on Debit
As of January 1, 2020, Sandhill Inc. adopted the retail method of accounting for its merchandise inventory. To prepare the store's financial statements at June 30, 2020, you obtain the following data. Inventory, January 1 Markdowns Markups Markdown cancellations Markup cancellations Purchases Sales revenue Purchase returns Sales returns and allowances (a) Cost $28,100 94,560 2,900 Selling Price $43,500 11,000 9,200 6,000 3,000 153,800 154,200 3,900 7,500 Compute Sandhill's June 30, 2020, inventory under the conventional retail method of accounting for inventories. (Round ratios for computational purposes to O decimal places, e.g. 78% and final answer to O decimal places, e.g. 28,987.) Inventory under the conventional retail method $
Provisions Grocery Store purchased merchandise on account from Federal Grocers for $500.00 on April 6, terms 2/10, n/30. Federal Grocers prepaid freight charges of $25.00 and added them to the invoice. Assuming Provisions Grocery Store pays the amount due within the discount period, what is the amount of the payment?
Recording Inventory Purchases and Sales on Account Record the entries for the following transactions for Shoppers Inc. Shoppers uses a perpetual inventory system and records sales taxes payable at the point of sale. a. On January 1, 2020, Shoppers Inc. purchased merchandise for resale for $56,000 on credit terms 1/15, n/30. Shoppers Inc. incurred a shipping charge of $288 on the purchase, which was immediately paid. Shoppers Inc. uses the gross method to record purchases. b. Shoppers Inc. sells $22,400 of inventory during the first week of January 2020, to customers for $40,000, with a sales tax rate of 5%. Of the total sales for the week, 30% are cash sales, and 70% are credit sales (n/30). c. On January 14, 2020, Shoppers Inc. pays the balance for purchases on account. d. Assume instead that Shoppers Inc. sells $24,000 of inventory during the first week of January 2020 to customers for $44,800, which includes a 5% sales tax. Of the total sales for the week, 30% are cash sales, and…
Morton Company uses a perpetual inventory system. On December 1, 2019, the company purchased inventory on account for $9,000. The credit terms are 2/10, n/30. If Morton pays the bill on Decermber 29, 2019, what amount of discount will be taken?
Haha
Bramble Corporation sells merchandise on account for $4800 to Kingbird Corporation with credit terms of 2/10, n/30. Kingbird returns $800 of merchandise that was damaged, along with a cheque to settle the account within the discount period. What is the amount of the cheque? $4704 $4000 $3920 $4800
On March 1, 2021 Lane Tech Merchandising (LTM) purchased the following inventory in the amount of $12,500 paying $4,500 cash and the rest on account. On March 5, 2021 LTM paid the balance of the transaction of March 1, 2021. On March 10, LTM sold merchandise for $10,000 cash. The cost of merchandise sold was $7,590. Record the journal entries to record the ongoing transactions under perpetual inventory system
a company purchased 3300 of merchandise on july 5th with term 3/10 n/30 on july 7th it returned of 900 worth of merchandise on july 12 it paid the full amount due assuming the company uses a perpetual inventory system and records purchases using the gross method the correct journal entry to record the payment on july 12th is debit merchandise inventory 2400 credit cash 2400 debit cash 2400 credit account Pay 2400 debit account Pay 2400 credit merchandise inventory 72 credit cash 2328 debit account pay 3300 credit cash 3300 debit account pay 2400 credit cash 2400
Vinubhai