Prepare journal entries to record each of the following sales transactions of a merchandising company. The company uses a perpetual inventory system and the gross method. April 1 Sold merchandise for $4,400, with credit terms n/30; invoice dated April 1. The cost of the merchandise is $2,640. April 4 The customer in the April 1 sale returned $520 of merchandise for full credit. The merchandise, which had cost $312, is returned to inventory. April 8 Sold merchandise for $1,700, with credit terms of 1/10, n/30; invoice dated April 8. Cost of the merchandise is $1,190. April 11 Received payment for the amount due from the April 1 sale less the return on April 4.
Prepare journal entries to record each of the following sales transactions of a merchandising company. The company uses a perpetual inventory system and the gross method. April 1 Sold merchandise for $4,400, with credit terms n/30; invoice dated April 1. The cost of the merchandise is $2,640. April 4 The customer in the April 1 sale returned $520 of merchandise for full credit. The merchandise, which had cost $312, is returned to inventory. April 8 Sold merchandise for $1,700, with credit terms of 1/10, n/30; invoice dated April 8. Cost of the merchandise is $1,190. April 11 Received payment for the amount due from the April 1 sale less the return on April 4.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Prepare journal entries to record each of the following sales transactions of a merchandising company. The company uses a perpetual
inventory system and the gross method.
April 1 Sold merchandise for $4,400, with credit terms n/30; invoice dated April 1. The cost of the merchandise is
$2,640.
April 4
The customer in the April 1 sale returned $520 of merchandise for full credit. The merchandise, which had cost
$312, is returned to inventory.
April 8
Sold merchandise for $1,700, with credit terms of 1/10, n/30; invoice dated April 8. Cost of the merchandise is
$1,190.
April 11 Received payment for the amount due from the April 1 sale less the return on April 4.
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Journal entry worksheet
<
1
2
Note: Enter debits before credits.
Date
Apr 01
H
Sold merchandise for $4,400, with credit terms n/30.
General Journal
6
Clasrantal
7
Debit
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