Presented below are transactions related to Crane, Inc. May 10 19 24 Purchased goods billed at $15,800 subject to cash discount terms of 2/10, r/60. Purchased goods billed at $13,800 subject to terms of 1/15, n/30. Paid invoice of May 10. Purchased goods billed at $10,300 subject to cash discount terms of 2/10, n/30.
Presented below are transactions related to Crane, Inc. May 10 19 24 Purchased goods billed at $15,800 subject to cash discount terms of 2/10, r/60. Purchased goods billed at $13,800 subject to terms of 1/15, n/30. Paid invoice of May 10. Purchased goods billed at $10,300 subject to cash discount terms of 2/10, n/30.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Presented below are transactions related to Crane, Inc.
May 10
(a)
Purchased goods billed at $15,800 subject to cash discount terms of 2/10, r/60.
Purchased goods billed at $13,800 subject to terms of 1/15, n/30.
Paid invoice of May 10.
Purchased goods billed at $10,300 subject to cash discount terms of 2/10, r/30.
Your answer is partially correct.
Prepare general journal entries for the transactions above under the assumption that purchases are to be recorded at net
amounts after cash discounts and that discounts lost are to be treated as financial expense. (If no entry is required, select "No entry"
for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent
manually. List all debit entries before credit entries.)
Date
Account Titles and Explanation
Accounts Payable
Inventory
Accounts Payable
Debit
15800
13800
Credit
10
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