Three transactions for Crane Gifts are presented here. On October 2, Crane Gifts purchased $36,000 of merchandise from Sea Toys, terms 2/10, n/30. On October 6, Crane Gifts returned $2,100 of the merchandise purchased on October 2. On October 12, Crane Gifts paid the balance due to Sea Toys. a. How much cash is paid by Crane Gifts on October 12? Cash Payment $ b. Post the transactions to the T-accounts. (Post entries in the order displayed in the problem statement.) V > Accounts Payable Inventory V V

Three transactions for Crane Gifts are presented here. On October 2, Crane Gifts purchased $36,000 of merchandise from Sea Toys, terms 2/10, n/30. On October 6, Crane Gifts returned $2,100 of the merchandise purchased on October 2. On October 12, Crane Gifts paid the balance due to Sea Toys. a. How much cash is paid by Crane Gifts on October 12? Cash Payment $ b. Post the transactions to the T-accounts. (Post entries in the order displayed in the problem statement.) V > Accounts Payable Inventory V V

Name: Three transactions for Crane Gifts are presented here.On October 2, C
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Description: Three transactions for Crane Gifts are presented here.On October 2, Crane Gifts purchased $36,000 of merchandise from Sea Toys, terms 2/10, n/30.On October 6, Crane Gifts returned $2,100 of the merchandise purchased on October 2.On October 12, Crane

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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Concept explainers

Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is

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Three transactions for Crane Gifts are presented here.
On October 2, Crane Gifts purchased $36,000 of merchandise from Sea Toys, terms 2/10, n/30.
On October 6, Crane Gifts returned $2,100 of the merchandise purchased on October 2.
On October 12, Crane Gifts paid the balance due to Sea Toys.
a. How much cash is paid by Crane Gifts on October 12?
Cash Payment $
b. Post the transactions to the T-accounts. (Post entries in the order displayed in the problem statement.)
>
V
Accounts Payable
Inventory
V
>
v

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