Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $29,5ee of merchandise it purchases for resale from Troy: imvoice dated May 11, terms 3/18, n/98, FOB shipping point. The goods cost Troy $19,765. Sydney pays $335 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,280 of the $29,580 of goods to Troy, who receives then the same day and restores them to its inventory- The returned goods had cost Troy $884. 28 Sydney pays Troy for the amount owed. Troy receives the cash imnediately. (Both Sydney and Troy use a perpetual Inventory system and the gross method.) 1. Prepare Joural entries that Sydney Retailing (buyer) records for these three transactions. 2 Prepare Jourmal entries that Troy Wholesalers (seller) records for these three transactions.

Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $29,5ee of merchandise it purchases for resale from Troy: imvoice dated May 11, terms 3/18, n/98, FOB shipping point. The goods cost Troy $19,765. Sydney pays $335 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,280 of the $29,580 of goods to Troy, who receives then the same day and restores them to its inventory- The returned goods had cost Troy $884. 28 Sydney pays Troy for the amount owed. Troy receives the cash imnediately. (Both Sydney and Troy use a perpetual Inventory system and the gross method.) 1. Prepare Joural entries that Sydney Retailing (buyer) records for these three transactions. 2 Prepare Jourmal entries that Troy Wholesalers (seller) records for these three transactions.

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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