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Sampson Co. sold merchandise to Batson Co. on account, $34,200, terms 2/15, net 45 on December 26. The cost of the goods sold is $25,650. The Batson Co. paid the invoice on December 31, within the discount period. Assume both Sampson and Batson use a perpetual inventory system. Required:   Prepare the entries that both Sampson and Batson Companies would record for the above. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.     Chart of Accounts-Sampson Co.     CHART OF ACCOUNTS Sampson Co. General Ledger   ASSETS 110 Cash 121 Accounts Receivable-Batson Co. 123 Accounts Receivable-Lyons Co. 130 Inventory 131 Estimated Returns Inventory 140 Supplies 142 Prepaid Insurance 180 Land 190 Equipment 191 Accumulated Depreciation   LIABILITIES 211 Accounts Payable-Foltz Supplies 212 Accounts Payable-Batson Co. 221 Salaries Payable 222 Sales Tax Payable 223 Customers Refunds Payable 231 Unearned Rent 241 Notes Payable   EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends   REVENUE 410 Sales   EXPENSES 510 Cost of Goods Sold 521 Delivery Expense 522 Advertising Expense 523 Depreciation Expense 526 Salaries Expense 531 Rent Expense 533 Insurance Expense 534 Supplies Expense 536 Credit Card Expense 560 Miscellaneous Expense 710 Interest Expense     Chart of Accounts-Batson Co.     CHART OF ACCOUNTS Batson Co. General Ledger   ASSETS 110 Cash 122 Accounts Receivable-Sampson Co. 123 Accounts Receivable-Myers Ltd. 130 Inventory 131 Estimated Returns Inventory 140 Supplies 142 Prepaid Insurance 180 Land 190 Equipment 191 Accumulated Depreciation   LIABILITIES 211 Accounts Payable-Lakefront Supplies 213 Accounts Payable-Sampson Co. 221 Salaries Payable 222 Sales Tax Payable 223 Customers Refunds Payable 231 Unearned Rent 241 Notes Payable   EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends   REVENUE 410 Sales   EXPENSES 510 Cost of Goods Sold 521 Delivery Expense 522 Advertising Expense 523 Depreciation Expense 526 Salaries Expense 531 Rent Expense 533 Insurance Expense 534 Supplies Expense 536 Credit Card Expense 560 Miscellaneous Expense 710 Interest Expense     General Journal       Prepare the entries for Sampson Company would record for each transaction. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.   PAGE 1   JOURNAL ACCOUNTING EQUATION     DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY 1                 2                 3                 4                 5                 6                         Prepare the entries for Batson Company would record for each transaction. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.   PAGE 1   JOURNAL ACCOUNTING EQUATION     DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY 1                 2                 3                 4

Sampson Co. sold merchandise to Batson Co. on account, $34,200, terms 2/15, net 45 on December 26. The cost of the goods sold is $25,650. The Batson Co. paid the invoice on December 31, within the discount period. Assume both Sampson and Batson use a perpetual inventory system. Required:   Prepare the entries that both Sampson and Batson Companies would record for the above. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.     Chart of Accounts-Sampson Co.     CHART OF ACCOUNTS Sampson Co. General Ledger   ASSETS 110 Cash 121 Accounts Receivable-Batson Co. 123 Accounts Receivable-Lyons Co. 130 Inventory 131 Estimated Returns Inventory 140 Supplies 142 Prepaid Insurance 180 Land 190 Equipment 191 Accumulated Depreciation   LIABILITIES 211 Accounts Payable-Foltz Supplies 212 Accounts Payable-Batson Co. 221 Salaries Payable 222 Sales Tax Payable 223 Customers Refunds Payable 231 Unearned Rent 241 Notes Payable   EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends   REVENUE 410 Sales   EXPENSES 510 Cost of Goods Sold 521 Delivery Expense 522 Advertising Expense 523 Depreciation Expense 526 Salaries Expense 531 Rent Expense 533 Insurance Expense 534 Supplies Expense 536 Credit Card Expense 560 Miscellaneous Expense 710 Interest Expense     Chart of Accounts-Batson Co.     CHART OF ACCOUNTS Batson Co. General Ledger   ASSETS 110 Cash 122 Accounts Receivable-Sampson Co. 123 Accounts Receivable-Myers Ltd. 130 Inventory 131 Estimated Returns Inventory 140 Supplies 142 Prepaid Insurance 180 Land 190 Equipment 191 Accumulated Depreciation   LIABILITIES 211 Accounts Payable-Lakefront Supplies 213 Accounts Payable-Sampson Co. 221 Salaries Payable 222 Sales Tax Payable 223 Customers Refunds Payable 231 Unearned Rent 241 Notes Payable   EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends   REVENUE 410 Sales   EXPENSES 510 Cost of Goods Sold 521 Delivery Expense 522 Advertising Expense 523 Depreciation Expense 526 Salaries Expense 531 Rent Expense 533 Insurance Expense 534 Supplies Expense 536 Credit Card Expense 560 Miscellaneous Expense 710 Interest Expense     General Journal       Prepare the entries for Sampson Company would record for each transaction. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.   PAGE 1   JOURNAL ACCOUNTING EQUATION     DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY 1                 2                 3                 4                 5                 6                         Prepare the entries for Batson Company would record for each transaction. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.   PAGE 1   JOURNAL ACCOUNTING EQUATION     DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY 1                 2                 3                 4

FINANCIAL ACCOUNTING
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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Sampson Co. sold merchandise to Batson Co. on account, $34,200, terms 2/15, net 45 on December 26. The cost of the goods sold is $25,650. The Batson Co. paid the invoice on December 31, within the discount period. Assume both Sampson and Batson use a perpetual inventory system.
Required:
  Prepare the entries that both Sampson and Batson Companies would record for the above. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.
 
 
Chart of Accounts-Sampson Co.
 
 
CHART OF ACCOUNTS
Sampson Co.
General Ledger
  ASSETS
110 Cash
121 Accounts Receivable-Batson Co.
123 Accounts Receivable-Lyons Co.
130 Inventory
131 Estimated Returns Inventory
140 Supplies
142 Prepaid Insurance
180 Land
190 Equipment
191 Accumulated Depreciation
  LIABILITIES
211 Accounts Payable-Foltz Supplies
212 Accounts Payable-Batson Co.
221 Salaries Payable
222 Sales Tax Payable
223 Customers Refunds Payable
231 Unearned Rent
241 Notes Payable
  EQUITY
310 Common Stock
311 Retained Earnings
312 Dividends
  REVENUE
410 Sales
  EXPENSES
510 Cost of Goods Sold
521 Delivery Expense
522 Advertising Expense
523 Depreciation Expense
526 Salaries Expense
531 Rent Expense
533 Insurance Expense
534 Supplies Expense
536 Credit Card Expense
560 Miscellaneous Expense
710 Interest Expense
 
 
Chart of Accounts-Batson Co.
 
 
CHART OF ACCOUNTS
Batson Co.
General Ledger
  ASSETS
110 Cash
122 Accounts Receivable-Sampson Co.
123 Accounts Receivable-Myers Ltd.
130 Inventory
131 Estimated Returns Inventory
140 Supplies
142 Prepaid Insurance
180 Land
190 Equipment
191 Accumulated Depreciation
  LIABILITIES
211 Accounts Payable-Lakefront Supplies
213 Accounts Payable-Sampson Co.
221 Salaries Payable
222 Sales Tax Payable
223 Customers Refunds Payable
231 Unearned Rent
241 Notes Payable
  EQUITY
310 Common Stock
311 Retained Earnings
312 Dividends
  REVENUE
410 Sales
  EXPENSES
510 Cost of Goods Sold
521 Delivery Expense
522 Advertising Expense
523 Depreciation Expense
526 Salaries Expense
531 Rent Expense
533 Insurance Expense
534 Supplies Expense
536 Credit Card Expense
560 Miscellaneous Expense
710 Interest Expense
 
 
General Journal
 
 
  Prepare the entries for Sampson Company would record for each transaction. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.
 
PAGE 1
 
JOURNAL
ACCOUNTING EQUATION
 
  DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY
1
 
 
 
 
 
 
 
 
2
 
 
 
 
 
 
 
 
3
 
 
 
 
 
 
 
 
4
 
 
 
 
 
 
 
 
5
 
 
 
 
 
 
 
 
6
 
 
 
 
 
 
 
 
 
 
 
  Prepare the entries for Batson Company would record for each transaction. Refer to the Chart of Accounts for exact wording of account titles. If no entry is required, simply skip to the next transaction.
 
PAGE 1
 
JOURNAL
ACCOUNTING EQUATION
 
  DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY
1
 
 
 
 
 
 
 
 
2
 
 
 
 
 
 
 
 
3
 
 
 
 
 
 
 
 
4
 
 
 
 
 
 
 
 
 
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