PR 5-2A Sales-related transactions using perpetual inventory system The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers: OBJ. 2 Mar. 2. Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30. The cost of the merchandise sold was $13,300. 3. Sold merchandise for $11,350 plus 6% sales tax to retail cash customers. The cost of merchandise sold was $7,000. 4. Sold merchandise on account to Empire Co., $55,400, terms FOB shipping point, n/eom. The cost of merchandise sold was $33,200. 5. Sold merchandise for $30,000 plus 6% sales tax to retail customers who used MasterCard. The cost of merchandise sold was $19,400. 12. Received check for amount due from Equinox Co. for sale on March 2. 14. Sold merchandise to customers who used American Express cards, $13,700. The cost of merchandise sold was $8,350. 16. Sold merchandise on account to Targhee Co., $27,500, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was $16,000. 18. Issued credit memo for $4,800 to Targhee Co. for merchandise returned from sale on March 16. The cost of the merchandise returned was $2,900. 19. Sold merchandise on account to Vista Co., $8,250, terms FOB shipping point, 2/10, n/30. Added $75 to the invoice for prepaid freight. The cost of merchan- dise sold was $5,000. 26. Received check for amount due from Targhee Co. for sale on March 16 less credit memo of March 18. (Continu
PR 5-2A Sales-related transactions using perpetual inventory system The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers: OBJ. 2 Mar. 2. Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30. The cost of the merchandise sold was $13,300. 3. Sold merchandise for $11,350 plus 6% sales tax to retail cash customers. The cost of merchandise sold was $7,000. 4. Sold merchandise on account to Empire Co., $55,400, terms FOB shipping point, n/eom. The cost of merchandise sold was $33,200. 5. Sold merchandise for $30,000 plus 6% sales tax to retail customers who used MasterCard. The cost of merchandise sold was $19,400. 12. Received check for amount due from Equinox Co. for sale on March 2. 14. Sold merchandise to customers who used American Express cards, $13,700. The cost of merchandise sold was $8,350. 16. Sold merchandise on account to Targhee Co., $27,500, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was $16,000. 18. Issued credit memo for $4,800 to Targhee Co. for merchandise returned from sale on March 16. The cost of the merchandise returned was $2,900. 19. Sold merchandise on account to Vista Co., $8,250, terms FOB shipping point, 2/10, n/30. Added $75 to the invoice for prepaid freight. The cost of merchan- dise sold was $5,000. 26. Received check for amount due from Targhee Co. for sale on March 16 less credit memo of March 18. (Continu
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:### PR 5-2A Sales-Related Transactions Using Perpetual Inventory System
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers:
#### March Transactions:
**Mar. 2:**
- Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30.
- The cost of the merchandise sold was $13,300.
**Mar. 3:**
- Sold merchandise for $11,350 plus 6% sales tax to retail cash customers.
- The cost of merchandise sold was $7,000.
**Mar. 4:**
- Sold merchandise on account to Empire Co., $55,400, terms FOB shipping point, n/eom.
- The cost of merchandise sold was $33,200.
**Mar. 5:**
- Sold merchandise for $30,000 plus 6% sales tax to retail customers who used MasterCard.
- The cost of merchandise sold was $19,400.
**Mar. 12:**
- Received check for amount due from Equinox Co. for sale on March 2.
**Mar. 14:**
- Sold merchandise to customers who used American Express cards, $13,700.
- The cost of merchandise sold was $8,350.
**Mar. 16:**
- Sold merchandise on account to Targhee Co., $27,500, terms FOB shipping point, 1/10, n/30.
- The cost of merchandise sold was $16,000.
**Mar. 18:**
- Issued credit memo for $4,800 to Targhee Co. for merchandise returned from sale on March 16.
- The cost of the merchandise returned was $2,900.
**Mar. 19:**
- Sold merchandise on account to Vista Co., $8,250, terms FOB shipping point, 2/10, n/30.
- Added $75 to the invoice for prepaid freight.
- The cost of merchandise sold was $5,000.
**Mar. 26:**
- Received check for amount due from Targhee Co. for sale on March 16 less credit memo of March 18.
(Continued)
Transcribed Image Text:### Amsterdam Supply Co. Transactions for March and April
---
**March 28**
- **Transaction:** Received check for the amount due from Vista Co. for the sale of March 19.
**March 31**
- **Transaction:** Received check for the amount due from Empire Co. for the sale of March 4.
**March 31**
- **Transaction:** Paid Fleetwood Delivery Service $5,600 for merchandise delivered during March to customers under shipping terms of FOB destination.
**April 3**
- **Transaction:** Paid City Bank $940 for service fees for handling MasterCard and American Express sales during March.
**April 15**
- **Transaction:** Paid $6,544 to state sales tax division for taxes owed on sales.
---
**Instructions:**
Journalize the entries to record the transactions of Amsterdam Supply Co.
---
*Note: No graphs or diagrams are included in the provided text.*
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