5-1A 1,961.4Income tax expense....Profit before tax expense...P4Finance costs29.122,976,6Net sales€ 1,063.0Research and development expenseGross profit16,374.84,024.4Selling, general and administrative expenseAdvertising and promotion expense...Finance Income...857.0Other incomeCost of sales ............145.24,756.86,601.86,886.233.5ConnectAIcon denotes assignments that involve decision making.Danare journal entries to record the following merchandising transactions of Tabarak Company, whichFieies the perpetual inventory system. (Hint: It will help to identify each receivable and payable; forappaple, record the purchase on July 1 in Accounts Payable-Nazly.)PROBLEM SET AProblem 5-1APreparing journal entries formerchandising activities-perpetualPurchased merchandise from Nazly Company for $6,000 under credit terms of 1/15, n/30, FOBshipping point, invoice dated July 1.2. Sold merchandise to Fayez Co. for $900 under credit terms of 2/10, n/60, FOB shipping point, P P2invoice dated July 2. The merchandise had cost $500.Jul. 1system3Paid $125 cash for freight charges on the purchase of July 1.8. Sold merchandise that had cost $1,300 for $1,700 cash.9 Purchased merchandise from Amen Co. for $2,200 under credit terms of 2/15, n/60, FOB desti-nation, invoice dated July 9.11 Received a $200 credit memorandum from Amen Co. for the return of part of the merchandisepurchased on July 9.Check July 12, Dr. Cash, $88212 Received the balance due from Fayez Co. for the invoice dated July 2, net of the discount.16 Paid the balance due to Nazly Company within the discount period.July 16, Cr. Cash $5,94019 Sold merchandise that cost $800 to Ismat Co. for $1,200 under credit terms of 2/15, n/60, FOBshipping point, invoice dated July 19.21 Issued a $200 credit memorandum to Ismat Co. for an allowance on goods sold on July 19.July 24, Cr. Cash 1,96024 Paid Amen Co. the balance due after deducting the discount.July 30, Dr. Cash $98030 Received the balance due from Ismat Co, for the invoice dated July 19, net of discount.31 Sold merchandise that cost $4.800 to Fayez Co. for $7,000 under credit terms of 2/10, n/60, FOBshipping point, invoice dated July 31.

Journalizing is the first step of the accounting process. A journal is the primary record of a…

%3D AIcon denotes assignments that involve decision making Deanare journal entries to record the following merchandising transactions of Tabarak Company, which Fiees the perpetual inventory system. (Hint: It will help to identify each receivable and payable; for mple, record the purchase on July 1 in Accounts Payable-Nazly.) PROBLEM SET A Purchased merchandise from Nazly Company for $6,000 under credit terms of 1/15, n/30, FOB shipping point, invoice dated July 1. 2. Sold merchandise to Fayez Co. for $900 under credit terms of 2/10, n/60, FOB shipping point, P1 P2 invoice dated July 2. The merchandise had cost $500. Problem 5-1A Preparing journal entries for merchandising activities-perpetual system Jul. 1 3. Paid $125 cash for freight charges on the purchase of July 1. 8 Sold merchandise that had cost $1,300 for $1,700 cash. Purchased merchandise from Amen Co. for $2,200 under credit terms of 2/15, n/60, FOB desti- nation, invoice dated July 9. 9 11 Received a $200 credit memorandum from Amen Co. for the return of part of the merchandise purchased on July 9. 12 Received the balance due from Fayez Co. for the invoice dated July 2, net of the discount. Check July 12, Dr. Cash, $882 16 Paid the balance due to Nazly Company within the discount period. July 16, Cr. Cash $5,940 19 Sold merchandise that cost $800 to Ismat Co. for $1,200 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19. 21 Issued a $200 credit memorandum to Ismat Co. for an allowance on goods sold on July 19. 24 Paid Amen Co. the balance due after deducting the discount. July 24, Cr. Cash 1,960 30 Received the balance due from Ismat Co. for the invoice dated July 19, net of discount. July 30, Dr. Cash $980 31 Sold merchandise that cost $4.800 to Fayez Co. for $7,000 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31.

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q