Slinky Company purchased merchandise on June 10, 2021, at a price of $31,000, subject to credit terms of 2/10, n/30. Slinky uses the net method for recording purchases and uses a perpetual inventory system. Required: 1. Prepare the journal entry to record the purchase. 2. & 3. Prepare the journal entries to record the appropriate payment if the entire invoice is paid on June 18, 2021 and July 8, 2021.
Slinky Company purchased merchandise on June 10, 2021, at a price of $31,000, subject to credit terms of 2/10, n/30. Slinky uses the net method for recording purchases and uses a perpetual inventory system. Required: 1. Prepare the journal entry to record the purchase. 2. & 3. Prepare the journal entries to record the appropriate payment if the entire invoice is paid on June 18, 2021 and July 8, 2021.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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12.
Transcribed Image Text:Slinky Company purchased
merchandise on June 10, 2021, at
a price of $31,000, subject to
credit terms of 2/10, n/30. Slinky
uses the net method for recording
purchases and uses a perpetual
inventory system.
Required:
1. Prepare the journal entry to
record the purchase.
2. & 3. Prepare the journal entries
to record the appropriate
payment if the entire invoice is
paid on June 18, 2021 and July 8,
2021.
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