Under the perpetual inventory system, the journal entry to record $200 for freight paid by the seller on goods sold is: DR Cash 200 CR Misc business expense 200 DR Merchandise Inventory 200 CR Cash 200 DR Cost of Goods Sold 200 CR Cash 200 DR Delivery Expense 200 CR Cash 200

Under the perpetual inventory system, the journal entry to record $200 for freight paid by the seller on goods sold is: DR Cash 200 CR Misc business expense 200 DR Merchandise Inventory 200 CR Cash 200 DR Cost of Goods Sold 200 CR Cash 200 DR Delivery Expense 200 CR Cash 200

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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Question

Under the perpetual inventory system, the journal entry to record $200 for freight paid by the seller on goods sold is:
DR Cash 200
CR Misc business expense 200
DR Merchandise Inventory 200
CR Cash 200
DR Cost of Goods Sold 200
CR Cash 200
DR Delivery Expense 200
CR Cash 200

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