Using Perpetual Inventory Syst were completed by Capers Company duri dise from UK Imports Co., $14,448, terms dise from Hoagie Co., $9,950, terms FOB added to the invoice. dise from Taco Co., $13,650, terms FOB c to Taco Co. for $4,550 of merchandise retu invoice of October 3. voice of October 4 less debit memo of Oct mdise from Veggie Co., $27,300, terms FOE on October 19 purchase from Veggie Co. andise from Caesar Salad Co., $22,000, term Co. for invoice of October 20. o. for invoice of October 1. ir invoice of October 19. e transactions of Capers Company for Octo

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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**Educational Website Transcription**

**Purchases-Related Transactions Using Perpetual Inventory System**

**Instructions:**
The following selected transactions were completed by Capers Company during October of the current year:

### October Transactions
1. **October 1:** Purchased merchandise from UK Imports Co., $14,480, terms FOB destination, n/30.
2. **October 3:** Purchased merchandise from Vigo Co., $9,550, terms FOB shipping point, 2/10, n/30. Prepaid freight of $270 was added to the invoice.
3. **October 4:** Returned $3,650 of merchandise purchased from Vigo Co.
4. **October 6:** Purchased merchandise from Taco Co., $6,650, terms 2/10, n/30.
5. **October 13:** Paid Taco Co. for invoice of October 3, less 2% discount.
6. **October 18:** Purchased merchandise from Veggie Co., $22,000, terms FOB destination, 1/10, n/30.
7. **October 19:** Paid freight of $400 on October 18 purchase from Veggie Co.
8. **October 20:** Purchased merchandise from Vigo Co., $27,300, terms FOB shipping point, n/30.
9. **October 31:** Paid UK Imports Co. for invoice of October 1.
10. **October 31:** Paid Vigo Co. for invoice of October 20.

**Chart of Accounts**
Journalize the entries to record the transactions of Capers Company for October. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page (used for debit or credit) must have an entry. CNOW journals will automatically indent credit entry when a credit amount is entered.
Transcribed Image Text:**Educational Website Transcription** **Purchases-Related Transactions Using Perpetual Inventory System** **Instructions:** The following selected transactions were completed by Capers Company during October of the current year: ### October Transactions 1. **October 1:** Purchased merchandise from UK Imports Co., $14,480, terms FOB destination, n/30. 2. **October 3:** Purchased merchandise from Vigo Co., $9,550, terms FOB shipping point, 2/10, n/30. Prepaid freight of $270 was added to the invoice. 3. **October 4:** Returned $3,650 of merchandise purchased from Vigo Co. 4. **October 6:** Purchased merchandise from Taco Co., $6,650, terms 2/10, n/30. 5. **October 13:** Paid Taco Co. for invoice of October 3, less 2% discount. 6. **October 18:** Purchased merchandise from Veggie Co., $22,000, terms FOB destination, 1/10, n/30. 7. **October 19:** Paid freight of $400 on October 18 purchase from Veggie Co. 8. **October 20:** Purchased merchandise from Vigo Co., $27,300, terms FOB shipping point, n/30. 9. **October 31:** Paid UK Imports Co. for invoice of October 1. 10. **October 31:** Paid Vigo Co. for invoice of October 20. **Chart of Accounts** Journalize the entries to record the transactions of Capers Company for October. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page (used for debit or credit) must have an entry. CNOW journals will automatically indent credit entry when a credit amount is entered.
**Chart of Accounts for Capers Company General Ledger**

Welcome to the reference page that outlines the Chart of Accounts for Capers Company. This detailed list categorizes and organizes all financial accounts used within the company's general ledger, which is essential for reporting and analysis purposes. Below you will find a complete breakdown of the various asset, liability, revenue, and expense accounts utilized by Capers Company.

### Assets
- **110 Cash**
- **120 Accounts Receivable**
- **125 Notes Receivable**
- **130 Merchandise Inventory**
- **131 Estimated Returns Inventory**
- **140 Office Supplies**
- **141 Store Supplies**
- **142 Prepaid Insurance**
- **180 Land**
- **192 Store Equipment**
- **193 Accumulated Depreciation-Store Equipment**
- **194 Office Equipment**
- **195 Accumulated Depreciation-Office Equipment**

### Liabilities
- **211 Accounts Payable-Caesar Salad Co.**
- **212 Accounts Payable-Hoagie Co.**
- **213 Accounts Payable-Taco Co.**
- **214 Accounts Payable-UK Imports Co.**
- **215 Accounts Payable-Veggie Co.**
- **216 Salaries Payable**
- **218 Sales Tax Payable**
- **219 Customers Refunds Payable**
- **221 Notes Payable**

### Revenue
- **410 Sales**
- **610 Interest Revenue**

### Expenses
- **510 Cost of Merchandise Sold**
- **521 Delivery Expense**
- **522 Advertising Expense**
- **524 Depreciation Expense-Store Equipment**
- **525 Depreciation Expense-Office Equipment**
- **526 Salaries Expense**
- **531 Rent Expense**
- **533 Insurance Expense**
- **534 Store Supplies Expense**
- **535 Office Supplies Expense**
- **536 Credit Card Expense**
- **539 Miscellaneous Expense**
- **710 Interest Expense**

This comprehensive chart ensures accurate financial tracking and reporting, enabling the company to maintain meticulous financial records and generate robust financial statements. Each account is numbered for easy reference and categorized for streamlined financial management. Use this guide to better understand the financial structure and transactions recorded by Capers Company.
Transcribed Image Text:**Chart of Accounts for Capers Company General Ledger** Welcome to the reference page that outlines the Chart of Accounts for Capers Company. This detailed list categorizes and organizes all financial accounts used within the company's general ledger, which is essential for reporting and analysis purposes. Below you will find a complete breakdown of the various asset, liability, revenue, and expense accounts utilized by Capers Company. ### Assets - **110 Cash** - **120 Accounts Receivable** - **125 Notes Receivable** - **130 Merchandise Inventory** - **131 Estimated Returns Inventory** - **140 Office Supplies** - **141 Store Supplies** - **142 Prepaid Insurance** - **180 Land** - **192 Store Equipment** - **193 Accumulated Depreciation-Store Equipment** - **194 Office Equipment** - **195 Accumulated Depreciation-Office Equipment** ### Liabilities - **211 Accounts Payable-Caesar Salad Co.** - **212 Accounts Payable-Hoagie Co.** - **213 Accounts Payable-Taco Co.** - **214 Accounts Payable-UK Imports Co.** - **215 Accounts Payable-Veggie Co.** - **216 Salaries Payable** - **218 Sales Tax Payable** - **219 Customers Refunds Payable** - **221 Notes Payable** ### Revenue - **410 Sales** - **610 Interest Revenue** ### Expenses - **510 Cost of Merchandise Sold** - **521 Delivery Expense** - **522 Advertising Expense** - **524 Depreciation Expense-Store Equipment** - **525 Depreciation Expense-Office Equipment** - **526 Salaries Expense** - **531 Rent Expense** - **533 Insurance Expense** - **534 Store Supplies Expense** - **535 Office Supplies Expense** - **536 Credit Card Expense** - **539 Miscellaneous Expense** - **710 Interest Expense** This comprehensive chart ensures accurate financial tracking and reporting, enabling the company to maintain meticulous financial records and generate robust financial statements. Each account is numbered for easy reference and categorized for streamlined financial management. Use this guide to better understand the financial structure and transactions recorded by Capers Company.
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