Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $23,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $15,745. Sydney pays $375 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,200 of the $23,500 of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $804. 20 Sydney pays Troy for the amount owed. Troy receives the cash immediately. (Both Sydney and Troy use a perpetual inventory system and the gross method.) 1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. 2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. View transaction list Journal entry worksheet 1 3 4 Sydney accepts delivery of $23,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $15,745. Prev 1 of 5 %23 Next >
Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $23,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $15,745. Sydney pays $375 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,200 of the $23,500 of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $804. 20 Sydney pays Troy for the amount owed. Troy receives the cash immediately. (Both Sydney and Troy use a perpetual inventory system and the gross method.) 1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. 2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. View transaction list Journal entry worksheet 1 3 4 Sydney accepts delivery of $23,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $15,745. Prev 1 of 5 %23 Next >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions.
May 11 Sydney accepts delivery of $23,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms
3/10, n/90, FOB shipping point. The goods cost Troy $15,745. Sydney pays $375 cash to Express Shipping for
delivery charges on the merchandise.
12 Sydney returns $1,200 of the $23,500 of goods to Troy, who receives them the same day and restores them to its
inventory. The returned goods had cost Troy $804.
20 Sydney pays Troy for the amount owed. Troy receives the cash immediately.
(Both Sydney and Troy use a perpetual inventory system and the gross method.)
1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions.
2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions.
Complete this question by entering your answers in the tabs below.
Required 1
Required 2
Prepare journal entries that Sydney Retailing (buyer) records for these three transactions.
View transaction list
Journal entry worksheet
1
2
3
4
Sydney accepts delivery of $23,500 of merchandise it purchases for resale
from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The
goods cost Troy $15,745.
Prev
1 of 5
Next >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F04cf6075-cb21-42ef-b4e8-a4cc15a240a1%2F8a622a38-0f79-444a-81d8-4b0a2ee047c9%2Fnc38174_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions.
May 11 Sydney accepts delivery of $23,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms
3/10, n/90, FOB shipping point. The goods cost Troy $15,745. Sydney pays $375 cash to Express Shipping for
delivery charges on the merchandise.
12 Sydney returns $1,200 of the $23,500 of goods to Troy, who receives them the same day and restores them to its
inventory. The returned goods had cost Troy $804.
20 Sydney pays Troy for the amount owed. Troy receives the cash immediately.
(Both Sydney and Troy use a perpetual inventory system and the gross method.)
1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions.
2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions.
Complete this question by entering your answers in the tabs below.
Required 1
Required 2
Prepare journal entries that Sydney Retailing (buyer) records for these three transactions.
View transaction list
Journal entry worksheet
1
2
3
4
Sydney accepts delivery of $23,500 of merchandise it purchases for resale
from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The
goods cost Troy $15,745.
Prev
1 of 5
Next >
![Required 1
Required 2
Prepare journal entries that Sydney Retaling (buyer) records for these three transactions.
View transaction list
Journal entry worksheet
1
3
4
Sydney accepts delivery of $23,500 of merchandise it purchases for resale
from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The
goods cost Troy $15,745.
Note: Enter debits before credits.
General Journal
Debit
Credit
Date
May 11
Vlew general journal
Clear entry
Record entry
Prev
1 of 5
...
...
...
Next >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F04cf6075-cb21-42ef-b4e8-a4cc15a240a1%2F8a622a38-0f79-444a-81d8-4b0a2ee047c9%2Fyns393j_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required 1
Required 2
Prepare journal entries that Sydney Retaling (buyer) records for these three transactions.
View transaction list
Journal entry worksheet
1
3
4
Sydney accepts delivery of $23,500 of merchandise it purchases for resale
from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The
goods cost Troy $15,745.
Note: Enter debits before credits.
General Journal
Debit
Credit
Date
May 11
Vlew general journal
Clear entry
Record entry
Prev
1 of 5
...
...
...
Next >
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
Step 1
Journal Entry is the basic book of accounts that used to record the transactions immediately after it's incurred.
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