Presented below is information related to Emilie Co. On April 5, purchased merchandise from De Ravin Company for $19,000, terms 2/10, net/30, FOB shipping point. On April 6, paid freight costs of $500 on merchandise purchased from De Ravin. On April 8, returned merchandise, which cost $4,000, to De Ravin Company. On April 15, paid the amount due to De Ravin Company in full. On May 10, Emilie Co. sold $28,000 of merchandise to Anderson Co., terms 2/15, n/30, FOB Destination. The cost of the merchandise sold was $15,500. Freight cost paid for the sending the merchandise to Adderson Co. was $1500. On May 18, Anderson Co. returned $2,500 goods which were not according to specification. On May 25, Almond Co. received the balance due from Shephard Co. Instructions (a) Prepare the journal entries to record these transactions on the books of Emilie Co. using perpetual inventory system.
Presented below is information related to Emilie Co.
On April 5, purchased merchandise from De Ravin Company for $19,000, terms 2/10,
net/30, FOB shipping point.
On April 6, paid freight costs of $500 on merchandise purchased from De Ravin.
On April 8, returned merchandise, which cost $4,000, to De Ravin Company.
On April 15, paid the amount due to De Ravin Company in full.
On May 10, Emilie Co. sold $28,000 of merchandise to Anderson Co., terms 2/15,
n/30, FOB Destination. The cost of the merchandise sold was $15,500.
Freight cost paid for the sending the merchandise to Adderson Co. was $1500.
On May 18, Anderson Co. returned $2,500 goods which were not according to
specification.
On May 25, Almond Co. received the balance due from Shephard Co.
Instructions
(a) Prepare the
perpetual inventory system.
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