Rockland Shoe Company records Sales Returns and Allowances and Sales Discounts as contra-revenues. Complete the followingtable, indicating the amount and direction of effect (+ for increase, - for decrease) of each transaction on each item reported inRockland's income statement prepared for internal use. Be sure to total the effects.July 12 Rockland sold merchandise to Kristina Zee at its factory store. Kristina paid for the $450 purchase in cash. The goods costRockland $24e.15 Sold merchandise to Shoe Express at a selling price of $6,500, with terms 3/10, n/30. Rockland's cost was $3,900.20 Collected cash due from Shoe Express.21 Sold merchandise to Fleet Foot Co. at a selling price of $2, 300, with terms 2/10, n/3e. Rockland's cost was $1,380.23 Fleet Foot Co. returned $1,150 of shoes and promised to pay for the renaining goods in August. The returned shoes were inperfect condition and had cost Rockland $690.wokencesTransaction Date:July 156,500July 12July 20July 21July 23TotalsSales RevenuesSales Returns and AllowancesSales DiscountsNet Sales4502,3009.2501.1501,1501951953,9002,600Cost of Goods Sold2401.3805,520Gross Profit2109203,730

Name: Rockland Shoe Company records Sales Returns and Allowances and Sales
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Description: Rockland Shoe Company records Sales Returns and Allowances and Sales Discounts as contra-revenues. Complete the followingtable, indicating the amount and direction of effect (+ for increase, - for decrease) of each transaction on each item reported

Net Sales = Sales Revenue - Sales Returns and Allowances - Sale Discount Gross Profit = Net Sales…

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Rockland Shoe Company records Sales Returns and Allowances and Sales Discounts as contra-revenues. Complete the following table, indicating the amount and direction of effect (+ for increase, - for decrease) of each transaction on each item reported in Rockland's income statement prepared for internal use Be sure to total the effects. July 12 Rockland sold merchandise to Kristina Zee at its factory store. Kristina paid for the 545e purchase in cash. The goods cos Rockland $240. 15 Sold merchandise to Shoe Express ata selling price of $6,500, ith terms 3/1e, n/3e. Rockland's cost was $3,00. 20 Collected cash due fron Shoe Express. 21 Sold merchandise to Fleet Foot Co. at a selling price of $2,300, with terms 2/10, /30. Rockland's cost was $1,380. 23 Fleet Foot Co. returned $1,150 of shoes and promised to pay for the renaining goods in August. The returned shoes were in perfect condition and had cost Rockland $690. Transaction Date: July 12 July 15 July 20 July 21 July 23 Totals Sales Revenues Sales Retums and Allowances Sales Discounts 450 6,500 2,300 9.250 1.150 1,150 195 195 Net Sales 240 210 3.900 2.600 Cost of Goods Sold 1.380 5.520 Gross Profit 920 3,730

Rockland Shoe Company records Sales Returns and Allowances and Sales Discounts as contra-revenues. Complete the following table, indicating the amount and direction of effect (+ for increase, - for decrease) of each transaction on each item reported in Rockland's income statement prepared for internal use Be sure to total the effects. July 12 Rockland sold merchandise to Kristina Zee at its factory store. Kristina paid for the 545e purchase in cash. The goods cos Rockland $240. 15 Sold merchandise to Shoe Express ata selling price of $6,500, ith terms 3/1e, n/3e. Rockland's cost was $3,00. 20 Collected cash due fron Shoe Express. 21 Sold merchandise to Fleet Foot Co. at a selling price of $2,300, with terms 2/10, /30. Rockland's cost was $1,380. 23 Fleet Foot Co. returned $1,150 of shoes and promised to pay for the renaining goods in August. The returned shoes were in perfect condition and had cost Rockland $690. Transaction Date: July 12 July 15 July 20 July 21 July 23 Totals Sales Revenues Sales Retums and Allowances Sales Discounts 450 6,500 2,300 9.250 1.150 1,150 195 195 Net Sales 240 210 3.900 2.600 Cost of Goods Sold 1.380 5.520 Gross Profit 920 3,730

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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