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The following merchandise transactions occurred in December. Both companies use a perpetual inventory system. Dec. 3 (a) 4 8 13 Sandhill Company sold merchandise to Wildhorse Co. for $37,000, terms 2/10, n/30, FOB destination. This merchandise cost Sandhill Company $18,000. The correct company paid freight charges of $775. Wildhorse Co. returned unwanted merchandise to Sandhill. The returned merchandise had a sale price of $2.000 and a cost of $990. It was restored to inventory. Sandhill Company received the balance due from Wildhorse Co. Prepare the journal entries to record these transactions on the books of Sandhill Company. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for

The following merchandise transactions occurred in December. Both companies use a perpetual inventory system. Dec. 3 (a) 4 8 13 Sandhill Company sold merchandise to Wildhorse Co. for $37,000, terms 2/10, n/30, FOB destination. This merchandise cost Sandhill Company $18,000. The correct company paid freight charges of $775. Wildhorse Co. returned unwanted merchandise to Sandhill. The returned merchandise had a sale price of $2.000 and a cost of $990. It was restored to inventory. Sandhill Company received the balance due from Wildhorse Co. Prepare the journal entries to record these transactions on the books of Sandhill Company. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for

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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*** The following merchandise transactions occurred in December. Both companies use a perpetual inventory system. Dec. 3 (a) 4 8 13 Sandhill Company sold merchandise to Wildhorse Co. for $37,000, terms 2/10, n/30, FOB destination. This merchandise cost Sandhill Company $18,000. The correct company paid freight charges of $775. Wildhorse Co. returned unwanted merchandise to Sandhill. The returned merchandise had a sale price of $2,000 and a cost of $990. It was restored to inventory. Sandhill Company received the balance due from Wildhorse Co. Prepare the journal entries to record these transactions on the books of Sandhill Company. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for
Transcribed Image Text:*** The following merchandise transactions occurred in December. Both companies use a perpetual inventory system. Dec. 3 (a) 4 8 13 Sandhill Company sold merchandise to Wildhorse Co. for $37,000, terms 2/10, n/30, FOB destination. This merchandise cost Sandhill Company $18,000. The correct company paid freight charges of $775. Wildhorse Co. returned unwanted merchandise to Sandhill. The returned merchandise had a sale price of $2,000 and a cost of $990. It was restored to inventory. Sandhill Company received the balance due from Wildhorse Co. Prepare the journal entries to record these transactions on the books of Sandhill Company. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for
19°C the amounts. Record journal entries in the order presented in the problem. List all debit entries before credit entries.) Date Account Titles and Explanation (To record sales on account.). (To record cost of goods sold.) skak > Debit G ENG Credit 6:43 PM
Transcribed Image Text:19°C the amounts. Record journal entries in the order presented in the problem. List all debit entries before credit entries.) Date Account Titles and Explanation (To record sales on account.). (To record cost of goods sold.) skak > Debit G ENG Credit 6:43 PM
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