Required information Exercise 7-5 (Algo) Trade and cash discounts; the gross method and the net method compared [LO7-3] [The following information applies to the questions displayed below.] Tracy Company, a manufacturer of air conditioners, sold 100 units to Thomas Company on November 17, 2021. The units have a list price of $700 each, but Thomas was given a 20% trade discount. The terms of the sale were 3/10, n/30. Exercise 7-5 (Algo) Part - 2 3-a. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021, assuming that the net method of accounting for cash discounts is used. 3-b. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15, 2021, assuming that the net method of accounting for cash discounts is used. O Answer is not complete. Complete this question by entering your answers in the tabs below. Req 3A Req 3B Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021, assuming that the net method of accounting for cash discounts is used. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit
Required information Exercise 7-5 (Algo) Trade and cash discounts; the gross method and the net method compared [LO7-3] [The following information applies to the questions displayed below.] Tracy Company, a manufacturer of air conditioners, sold 100 units to Thomas Company on November 17, 2021. The units have a list price of $700 each, but Thomas was given a 20% trade discount. The terms of the sale were 3/10, n/30. Exercise 7-5 (Algo) Part - 2 3-a. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021, assuming that the net method of accounting for cash discounts is used. 3-b. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15, 2021, assuming that the net method of accounting for cash discounts is used. O Answer is not complete. Complete this question by entering your answers in the tabs below. Req 3A Req 3B Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021, assuming that the net method of accounting for cash discounts is used. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
100%
Please help with Req 3A and Req 3B
![!
Required information
Exercise 7-5 (Algo) Trade and cash discounts; the gross method and the net method compared [LO7-3]
[The following information applies to the questions displayed below.]
Tracy Company, a manufacturer of air conditioners, sold 100 units to Thomas Company on November 17, 2021. The units
have a list price of $700 each, but Thomas was given a 20% trade discount. The terms of the sale were 3/10, n/30.
Exercise 7-5 (Algo) Part 2
3-a. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021,
assuming that the net method of accounting for cash discounts is used.
3-b. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15, 2021,
assuming that the net method of accounting for cash discounts is used.
Answer is not complete.
Complete this question by entering your answers in the tabs below.
Req 3A
Req 3B
Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021,
assuming that the net method of accounting for cash discounts is used. (If no entry is required for a transaction/event, select
"No journal entry required" in the first account field.)
No
Date
General Journal
Debit
Credit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3e1bfd6a-3cb6-4031-858f-4ba8da8545b1%2Fa3cd05b2-dcb5-472f-ba28-9b726a153d32%2Fag63vn_processed.jpeg&w=3840&q=75)
Transcribed Image Text:!
Required information
Exercise 7-5 (Algo) Trade and cash discounts; the gross method and the net method compared [LO7-3]
[The following information applies to the questions displayed below.]
Tracy Company, a manufacturer of air conditioners, sold 100 units to Thomas Company on November 17, 2021. The units
have a list price of $700 each, but Thomas was given a 20% trade discount. The terms of the sale were 3/10, n/30.
Exercise 7-5 (Algo) Part 2
3-a. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021,
assuming that the net method of accounting for cash discounts is used.
3-b. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15, 2021,
assuming that the net method of accounting for cash discounts is used.
Answer is not complete.
Complete this question by entering your answers in the tabs below.
Req 3A
Req 3B
Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021,
assuming that the net method of accounting for cash discounts is used. (If no entry is required for a transaction/event, select
"No journal entry required" in the first account field.)
No
Date
General Journal
Debit
Credit
Transcribed Image Text:3-a. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021,
assuming that the net method of accounting for cash discounts is used.
3-b. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15, 2021,
assuming that the net method of accounting for cash discounts is used.
Answer is not complete.
Complete this question by entering your answers in the tabs below.
Req 3A
Reg 3B
Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021,
assuming that the net method of accounting for cash discounts is used. (If no entry is required for a transaction/event, select
"No journal entry required" in the first account field.)
No
Date
General Journal
Debit
Credit
November 17, 202 Accounts receivable
Sales revenue
November 26, 202 Cash
Sales discounts
Accounts receivable
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education