S5-2 Journalizing purchase transactionsConsider the following transactions for Toys and More:May 8 Toys and More buys $113,300 worth of MegoBlock toys on account withcredit terms of 2/10, n/60.Toys and More returns $11,250 of the merchandise to MegoBlock due todamage during shipment.1215 Toys and More paid the amount due, less the return and discount.Requirements1. Journalize the purchase transactions. Explanations are not required.2. In the final analysis, how much did the inventory cost Toys and More?

Step 1 Journal is the part of book keeping.

Answered: Requirements 1. Journalize the purchase…

Requirements 1. Journalize the purchase transactions. Explanations are not required. 2. In the final analysis, how much did the inventory cost Toys and More?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

S5-2 Journalizing purchase transactions
Consider the following transactions for Toys and More:
May 8 Toys and More buys $113,300 worth of MegoBlock toys on account with
credit terms of 2/10, n/60.
Toys and More returns $11,250 of the merchandise to MegoBlock due to
damage during shipment.
12
15 Toys and More paid the amount due, less the return and discount.
Requirements
1. Journalize the purchase transactions. Explanations are not required.
2. In the final analysis, how much did the inventory cost Toys and More?

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