Perpetual System- Recording Purchases and Payments with Discounts Using Net Method Track Bicycles Inc. purchased merchandise inventory on February 1 for $93,500 on account, terms 2/10, n/30. The company maintains a perpetual inventory system and it accounts for purchases using the net method. The amount due to settle the account was paid on February 9. Record the purchases entry on February 1 and the payment entry on February 9. • Note: If a line in a journal entry isn't required for the transaction, select "N/A" as the account name and leave the Dr. and Cr. answers blank (zero).
Perpetual System- Recording Purchases and Payments with Discounts Using Net Method Track Bicycles Inc. purchased merchandise inventory on February 1 for $93,500 on account, terms 2/10, n/30. The company maintains a perpetual inventory system and it accounts for purchases using the net method. The amount due to settle the account was paid on February 9. Record the purchases entry on February 1 and the payment entry on February 9. • Note: If a line in a journal entry isn't required for the transaction, select "N/A" as the account name and leave the Dr. and Cr. answers blank (zero).
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter12: Special Journals
Section: Chapter Questions
Problem 9SPB: PURCHASES JOURNAL Ann Benton, owner of Bentons Galleria, made the following purchases of merchandise...
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![Perpetual System- Recording Purchases and Payments with Discounts Using Net Method
Track Bicycles Inc. purchased merchandise inventory on February 1 for $93,500 on account, terms 2/10,
n/30. The company maintains a perpetual inventory system and it accounts for purchases using the net
method. The amount due to settle the account was paid on February 9.
Record the purchases entry on February 1 and the payment entry on February 9.
• Note: If a line in a journal entry isn't required for the transaction, select "N/A" as the account name and
leave the Dr. and Cr. answers blank (zero).
Date
Feb. 1
Inventory
Account Name
Accounts Payable
To record the purchase
Feb. 9 Accounts Payable
Inventory
Cash
To record the payment
<
V
Dr.
93,500
93,500
0
0
Cr.
0
93,500 *
0x
1,870 X
91,630](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff38489f5-c59a-43ed-8679-ac3c0b7d5ecf%2F4ce9d31b-6094-44cb-8ad2-8542f2b0945f%2F2cpq66t_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Perpetual System- Recording Purchases and Payments with Discounts Using Net Method
Track Bicycles Inc. purchased merchandise inventory on February 1 for $93,500 on account, terms 2/10,
n/30. The company maintains a perpetual inventory system and it accounts for purchases using the net
method. The amount due to settle the account was paid on February 9.
Record the purchases entry on February 1 and the payment entry on February 9.
• Note: If a line in a journal entry isn't required for the transaction, select "N/A" as the account name and
leave the Dr. and Cr. answers blank (zero).
Date
Feb. 1
Inventory
Account Name
Accounts Payable
To record the purchase
Feb. 9 Accounts Payable
Inventory
Cash
To record the payment
<
V
Dr.
93,500
93,500
0
0
Cr.
0
93,500 *
0x
1,870 X
91,630
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