Homework Help is Here – Start Your Trial Now!
Business
Accounting
The following transactions occured during 2014 for Bentley Inc. which uses a perpetual inventory system : (a) June 1: Bentley Inc.'s merchandise was sold to Zcom Inc. for $9,900 under credit terms of 2/30, n/60, FOB shipping point. The cost of the merchandise was $7,920. (b) June 1: Bentley Inc. purchased merchandise from Barton Corporation for $5,200 under credit terms of n/60, FOB shipping point. (c) June 2: Bentley Inc. purchased merchandise from Southgate Inc. for $6,500 cash, FOB destination. (d) June 2: Bentley Inc. purchased merchandise from Allarco Inc. for $9,700 under credit terms of n/60, FOB destination. (e) June 2: Paid $300 for freight charges for the June 1 purchase of merchandise. (f) June 4: Bentley Inc. sold merchandise that cost $7,600 to Star Inc. for $9,500 under credit terms of 2/30, n/60, FOB shipping point. (g) June 11: Zcom Inc. requested a price reduction on the June 1 sale because the merchandise did not meet specifications. Sent Zcom Inc. a credit memorandum for $1,800 to resolve the issue. (h) June 12: Received a credit memorandum in the amount of $600 acknowledging the return of merchandise purchased from Allarco Inc. on June 2. (i) July 1: Received Zcom Inc.'s payment of the amount due from the June 1 sale. (1) July 4: Received the balance due from Star Inc. for the sale dated June 4. (k) July 31: Paid Barton Corporation the amount due from the June 1 purchase. (1) August 1: Paid the amount due to Allarco Inc. for the June 2 purchase. a) Calculate the net sales for Bentley Inc. during 2014: Net Sales: b) Calculate the cost of goods sold for Bentley Inc. during 2014: Cost of Goods Sold:

The following transactions occured during 2014 for Bentley Inc. which uses a perpetual inventory system : (a) June 1: Bentley Inc.'s merchandise was sold to Zcom Inc. for $9,900 under credit terms of 2/30, n/60, FOB shipping point. The cost of the merchandise was $7,920. (b) June 1: Bentley Inc. purchased merchandise from Barton Corporation for $5,200 under credit terms of n/60, FOB shipping point. (c) June 2: Bentley Inc. purchased merchandise from Southgate Inc. for $6,500 cash, FOB destination. (d) June 2: Bentley Inc. purchased merchandise from Allarco Inc. for $9,700 under credit terms of n/60, FOB destination. (e) June 2: Paid $300 for freight charges for the June 1 purchase of merchandise. (f) June 4: Bentley Inc. sold merchandise that cost $7,600 to Star Inc. for $9,500 under credit terms of 2/30, n/60, FOB shipping point. (g) June 11: Zcom Inc. requested a price reduction on the June 1 sale because the merchandise did not meet specifications. Sent Zcom Inc. a credit memorandum for $1,800 to resolve the issue. (h) June 12: Received a credit memorandum in the amount of $600 acknowledging the return of merchandise purchased from Allarco Inc. on June 2. (i) July 1: Received Zcom Inc.'s payment of the amount due from the June 1 sale. (1) July 4: Received the balance due from Star Inc. for the sale dated June 4. (k) July 31: Paid Barton Corporation the amount due from the June 1 purchase. (1) August 1: Paid the amount due to Allarco Inc. for the June 2 purchase. a) Calculate the net sales for Bentley Inc. during 2014: Net Sales: b) Calculate the cost of goods sold for Bentley Inc. during 2014: Cost of Goods Sold:

Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter11: The Statement Of Cash Flows
Section: Chapter Questions
Problem 37E: Analyzing the Accounts Casey Company uses a perpetual inventory system and engaged in the following...
See similar textbooks
icon
Related questions
Topic Video
Question
100%
The following transactions occured during 2014 for Bentley Inc. which uses a perpetual inventory system: (a) June 1: Bentley Inc.'s merchandise was sold to Zcom Inc. for $9,900 under credit terms of 2/30, n/60, FOB shipping point. The cost of the merchandise was $7,920. (b) June 1: Bentley Inc. purchased merchandise from Barton Corporation for $5,200 under credit terms of n/60, FOB shipping point. (c) June 2: Bentley Inc. purchased merchandise from Southgate Inc. for $6,500 cash, FOB destination. (d) June 2: Bentley Inc. purchased merchandise from Allarco Inc. for $9,700 under credit terms of n/60, FOB destination. (e) June 2: Paid $300 for freight charges for the June 1 purchase of merchandise. (f) June 4: Bentley Inc. sold merchandise that cost $7,600 to Star Inc. for $9,500 under credit terms of 2/30, n/60, FOB shipping point. (g) June 11: Zcom Inc. requested a price reduction on the June 1 sale because the merchandise did not meet specifications. Sent Zcom Inc. a credit memorandum for $1,800 to resolve the issue. (h) June 12: Received a credit memorandum in the amount of $600 acknowledging the return of merchandise purchased from Allarco Inc. on June 2. (1) July 1: Received Zcom Inc.'s payment of the amount due from the June 1 sale. (1) July 4: Received the balance due from Star Inc. for the sale dated June 4. (k) July 31: Paid Barton Corporation the amount due from the June 1 purchase. (1) August 1: Paid the amount due to Allarco Inc. for the June 2 purchase. a) Calculate the net sales for Bentley Inc. during 2014: Net Sales: b) Calculate the cost of goods sold for Bentley Inc. during 2014: Cost of Goods Sold:
Transcribed Image Text:The following transactions occured during 2014 for Bentley Inc. which uses a perpetual inventory system: (a) June 1: Bentley Inc.'s merchandise was sold to Zcom Inc. for $9,900 under credit terms of 2/30, n/60, FOB shipping point. The cost of the merchandise was $7,920. (b) June 1: Bentley Inc. purchased merchandise from Barton Corporation for $5,200 under credit terms of n/60, FOB shipping point. (c) June 2: Bentley Inc. purchased merchandise from Southgate Inc. for $6,500 cash, FOB destination. (d) June 2: Bentley Inc. purchased merchandise from Allarco Inc. for $9,700 under credit terms of n/60, FOB destination. (e) June 2: Paid $300 for freight charges for the June 1 purchase of merchandise. (f) June 4: Bentley Inc. sold merchandise that cost $7,600 to Star Inc. for $9,500 under credit terms of 2/30, n/60, FOB shipping point. (g) June 11: Zcom Inc. requested a price reduction on the June 1 sale because the merchandise did not meet specifications. Sent Zcom Inc. a credit memorandum for $1,800 to resolve the issue. (h) June 12: Received a credit memorandum in the amount of $600 acknowledging the return of merchandise purchased from Allarco Inc. on June 2. (1) July 1: Received Zcom Inc.'s payment of the amount due from the June 1 sale. (1) July 4: Received the balance due from Star Inc. for the sale dated June 4. (k) July 31: Paid Barton Corporation the amount due from the June 1 purchase. (1) August 1: Paid the amount due to Allarco Inc. for the June 2 purchase. a) Calculate the net sales for Bentley Inc. during 2014: Net Sales: b) Calculate the cost of goods sold for Bentley Inc. during 2014: Cost of Goods Sold:
Expert Solution
steps

Step by step

Solved in 2 steps with 2 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting for Merchandise Inventory
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS