Pina Colada Hardware Store Inc. completed the following merchandising transactions in the month of May 2018. At the beginning of May, Pina Colada's ledger showed Cash of $8,800 and Common Shares of $8,800. May 1 2 5 9 10 11 12 15 17 19 24 25 27 29 31 Purchased merchandise on account from Hilton Wholesale Supply for $8,800, terms 2/10, n/30. Sold merchandise on account for $4,400, terms 3/10, n/30. The cost of the merchandise sold was $3,030. Received credit from Hilton Wholesale Supply for merchandise returned $300. Received collections in full, less discounts, from customers billed on May 2. Paid Hilton Wholesale Supply in full, less discount. Purchased supplies for cash $810. Purchased merchandise for cash $2,430. Received $260 refund for return of poor-quality merchandise from supplier on cash purchase. Purchased merchandise from Northern Distributors for $2,300, terms 2/10, n/30. Paid freight on May 17 purchase $270. Sold merchandise for cash $5,570. The cost of the merchandise sold was $4,260. Purchased merchandise from Toolware Inc. for $780, terms 3/10, n/30. Paid Northern Distributors in full, less discount. Made refunds to cash customers for returned merchandise $140. The returned merchandise was returned to inventory and had cost $90. Sold merchandise on account for $1,390, terms n/30. The cost of the merchandise sold was $920. Pina Colada Hardware uses a perpetual inventory system.
Pina Colada Hardware Store Inc. completed the following merchandising transactions in the month of May 2018. At the beginning of May, Pina Colada's ledger showed Cash of $8,800 and Common Shares of $8,800. May 1 2 5 9 10 11 12 15 17 19 24 25 27 29 31 Purchased merchandise on account from Hilton Wholesale Supply for $8,800, terms 2/10, n/30. Sold merchandise on account for $4,400, terms 3/10, n/30. The cost of the merchandise sold was $3,030. Received credit from Hilton Wholesale Supply for merchandise returned $300. Received collections in full, less discounts, from customers billed on May 2. Paid Hilton Wholesale Supply in full, less discount. Purchased supplies for cash $810. Purchased merchandise for cash $2,430. Received $260 refund for return of poor-quality merchandise from supplier on cash purchase. Purchased merchandise from Northern Distributors for $2,300, terms 2/10, n/30. Paid freight on May 17 purchase $270. Sold merchandise for cash $5,570. The cost of the merchandise sold was $4,260. Purchased merchandise from Toolware Inc. for $780, terms 3/10, n/30. Paid Northern Distributors in full, less discount. Made refunds to cash customers for returned merchandise $140. The returned merchandise was returned to inventory and had cost $90. Sold merchandise on account for $1,390, terms n/30. The cost of the merchandise sold was $920. Pina Colada Hardware uses a perpetual inventory system.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Read the question and record the above Transactions with date,account titles and explanations, debit or credit.
Ps: there is an exemple of how you should record the transactions.
Transcribed Image Text:Record the above transactions. (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. Round answers to the nearest whole dollar, e.g
5,775)
Date Account Titles and Explanation
May 1
2
5
(Sale of merchandise on account)
(Cost of goods sold recorded)
Debit
N
Credit
Transcribed Image Text:Pina Colada Hardware Store Inc. completed the following merchandising transactions in the month of May 2018. At the beginning of
May, Pina Colada's ledger showed Cash of $8,800 and Common Shares of $8,800.
May
1
2
5
9
10
11
12
15
17
19
24
25
27
29
31
Purchased merchandise on account from Hilton Wholesale Supply for $8,800, terms 2/10, n/30.
Sold merchandise on account for $4,400, terms 3/10, n/30. The cost of the merchandise sold was $3,030.
Received credit from Hilton Wholesale Supply for merchandise returned $300.
Received collections in full, less discounts, from customers billed on May 2.
Paid Hilton Wholesale Supply in full, less discount.
Purchased supplies for cash $810.
Purchased merchandise for cash $2,430.
Received $260 refund for return of poor-quality merchandise from supplier on cash purchase.
Purchased merchandise from Northern Distributors for $2,300, terms 2/10, n/30.
Paid freight on May 17 purchase $270.
Sold merchandise for cash $5,570. The cost of the merchandise sold was $4,260.
Purchased merchandise from Toolware Inc. for $780, terms 3/10, n/30.
Paid Northern Distributors in full, less discount.
Made refunds to cash customers for returned merchandise $140. The returned merchandise was returned to inventory
and had cost $90.
Sold merchandise on account for $1,390, terms n/30. The cost of the merchandise sold was $920.
Pina Colada Hardware uses a perpetual inventory system.
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