Trade Discount and Cash Discounts Merchandise was purchased on account from Jacob's Distributors on May 1. Calculate the net amount to record the invoice, less the 10% trade di 2. Calculate the amount to be paid on this invoice within the discount pe 3. Journalize the purchase of the merchandise on May 17 in a general jo DOC. POST. NO. REF. DATE ACCOUNT TITLE DEBIT C 20-- 1 May 17 3 Purchased merchandise 4 27 5

Trade Discount and Cash Discounts Merchandise was purchased on account from Jacob's Distributors on May 1. Calculate the net amount to record the invoice, less the 10% trade di 2. Calculate the amount to be paid on this invoice within the discount pe 3. Journalize the purchase of the merchandise on May 17 in a general jo DOC. POST. NO. REF. DATE ACCOUNT TITLE DEBIT C 20-- 1 May 17 3 Purchased merchandise 4 27 5

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Journalize thr transaction
Journal Entries for Merchandise Transactions on Seller's and Buyer's Books- Perpetual System The following transactions occurred between the Decker Company and Mann Stores, Inc., during March: Mar. 8 Decker sold $20,200 worth of merchandise ($15,800 cost) to Mann Stores with terms of 2/10, n/30. 10 Mann Stores paid freight charges on the shipment from Decker Company, $270. 12 Mann Stores returned $1,300 of the merchandise ($870 cost) shipped on March 8. 17 Decker received full payment for the net amount due from the March 8 sale. 20 Mann Stores returned goods that had been billed originally at $700 ($400 cost). Decker issued a check for $686. Required Prepare the necessary journal entries for (a) the books of Decker Company and (b) the books of Mann Stores, Inc. Assume that both companies use the perpetual inventory system. Sellers journal entries Buyer's journal entries DECKER COMPANY GENERAL JOURNAL Date Description Debit Credit Mar. 8…
Exercise 5-4 Recording journal entries for merchandise sales transactions-perpetual LO3 Journalize each of the following transactions assuming a perpetual inventory system. You are not required to identify the account number in your journal entries. April May 5 Sold merchandise to a customer for $6,400; terms 3/10, n/30 (cost of sales $3,680). 7 Made a cash sale of $4,700 of merchandise to a customer today (cost of sales $2,660). 8 Sold merchandise for $12,000; terms 3/10, n/30 (cost of sales $7,040). 15 4 Feb. Collected the amount owing from the credit customer of April 5. The customer of April 8 paid the balance owing. The company's chart of accounts include the following: 101 106 119 201 401 Sales 414 Sales returns and allowances 415 Sales discounts 500 Cost of goods sold Cash Accounts Receivable Merchandise inventory Accounts Payable Exercise 5-5 Recording journal entries for merchandise sales transactions-perpetual LO3 Journalize each of the following transactions assuming a…
Mar 2 sold merchandise on credit to Ryan Co Invoice number 854, for $27,600 (cost is 17,000) Mar 12 received payment from Ryan Co For the March 2 sale less the discount of $552 What is the journal entry
Exercise 5-2 Recording journal entries for merchandise purchase transactions-perpetual Journalize each of the following transactions assuming a perpetual inventory system. Feb. 1. Purchased $17,100 of merchandise inventory; terms 2/10, n/30. Purchased for cash $8,300 of merchandise inventory. Purchased $22,100 of merchandise inventory; terms 3/15, n/45 Purchased $1,950 of office supplies; terms n/15. 10.Contacted a major supplier to place an order for $210,000 of merchandise in exchange for a 25% trade discount to be shipped on April 1 FOB destination. Paid for the merchandise purchased on February 1. Paid for the office supplies purchased on February 9 Mar. 23. Paid for the February 6 purchase.
s
EE 6-5 Statham Co. sold merchandise to Bloomingdale Co. on account, $147,600, terms FOB shipping point, 2/10, n/30. The cost of the merchandise sold is $88,600. Statham Co. paid freight of $2,400. Journalize the entries for Statham Co. and Bloomingdale Co. for the sale, purchase, and payment of amount due. Assume that all discounts are taken.
C part
Score $250 vork i Saved Exercise 4-7 Recording sales, purchases, shipping, and returns-buyer and seller LO P1, P2 Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $25,000 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $16,750. Sydney pays $675 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,100 of the $25,000 of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $737. 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…
Accounting
Prepare journal entries to record the following merchandising transactions of Cabela's, which uses the perpetual Inventory system and the gross method. July 1 Purchased merchandise from Boden Company for $6,000 under credit terms of 1/15, n/30, FOB shipping point, invoice dated July 1. July 2 Sold merchandise to Creek Company for $900 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. The merchandise had cost $500. July 3 Paid $125 cash for freight charges on the purchase of July 1. July 8 Sold merchandise that had cost $1,300 for $1,700 cash. July 9 Purchased merchandise from Leight Company for $2,200 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9. July 11 Returned $200 of merchandise purchased on July 9 from Leight Company and debited its account payable for that amount. July 12 Received the balance due from Creek Company for the invoice dated July 2, net of the discount. July 16 Paid the balance due to Boden Company within the…
Chapter 12 Homework eBook Show Me How Print Item Journalizing Sales Transactions Enter the following transactions in a sales journal. Use a 6% sales tax rate. Sept. 1 Sold merchandise on account to K. Smith, $1,700, plus sales tax. Sale No. 228. 3 Sold merchandise on account to J. Arnes, $2,900, plus sales tax. Sale No. 229. 5 Sold merchandise on account to M. Denison, $2,700, plus sales tax. Sale No. 230. 7 Sold merchandise on account to B. Marshall, $1,500, plus sales tax. Sale No. 231. ACCOUNTS RECEIVABLE DEBIT Page: 1 SALES TAX PAYABLE CREDIT > SALE NO. POST. REF. SALES CREDIT DATE TO WHOM SOLD М.d 1 1 М. d 2 2 М.d М.d 4 4 3.