Could you check if my journal entries for this information is correct? Palisade Creek Co. is a merchandising business that uses the perpetual inventory system. The account balances for Palisade Creek Co. as of May 1, 2019 (unless otherwise indicated), are as follows: 110 Cash $83,600 112 Accounts Receivable 233,900 115 Merchandise Inventory 624,400 116 Estimated Returns Inventory 28,000 117 Prepaid Insurance 16,800 118 Store Supplies 11,400 123 Store Equipment 569,500 124 Accumulated Depreciation—Store Equipment 56,700 210 Accounts Payable 96,600 211 Customer Refunds Payable 50,000 212 Salaries Payable — 310 Lynn Tolley, Capital, June 1, 2018 685,300 311 Lynn Tolley, Drawing 135,000 410 Sales 5,069,000 510 Cost of Merchandise Sold 2,823,000 520 Sales Salaries Expense 664,800 521 Advertising Expense 281,000 522 Depreciation Expense — 523 Store Supplies Expense — 529 Miscellaneous Selling Expense 12,600 530 Office Salaries Expense 382,100 531 Rent Expense 83,700 532 Insurance Expense — 539 Miscellaneous Administrative Expense 7,800 May 1: Paid rent for May, $5,000. Description   Debit Credit Rent Expense    5000   Cash      5000 May 3: Purchased merchandise on account from Martin Co., terms 2/10, n/30, FOB shipping point, $36,000. Description   Debit Credit Merchandise Inventory    35280   Accounts Payable-Martin Co.      35280 May 4: Paid freight on purchase of May 3, $600. Description   Debit Credit Merchandise Inventory    600   Cash      600 May 6: Sold merchandise on account to Korman Co., terms 2/10, n/30, FOB shipping point, $68,500. The cost of the merchandise sold was $41,000. Description   Debit Credit Accounts Receivable-Korman Co.    68500   Sales      68500 Cost of Merchandise Sold    41000   Merchandise Inventory      41000 May 7: Received $22,300 cash from Halstad Co. on account. Description   Debit Credit Cash    22500   Accounts Receivable-Halstad Co.      22500 May 10: Sold merchandise for cash, $54,000. The cost of the merchandise sold was $32,000. Description   Debit Credit Cash    54000   Sales      54000 Cost of Merchandise Sold    32000   Merchandise Inventory      32000 May 13: Paid for merchandise purchased on May 3. Description   Debit Credit Accounts Payable-Martin Co.    35280   Cash      35280 May 15: Paid advertising expense for last half of May, $11,000. Description   debit Credit Advertising Expense    11000   Cash      11000 May 16: Received cash from sale of May 6. Description   Debit Credit Cash    67130   Accounts Receivable-Korman Co.      67130 May 19: Purchased merchandise for cash, $18,700. Description   Debit Credit Merchandise Inventory    18700   Cash      18700 May 19: Paid $33,450 to Buttons Co. on account. Description   Debit Credit Accounts Payable-Buttons Co.    33450   Cash      33450 May 20: Paid Korman Co. a cash refund of $13,230 for returned merchandise from sale of May 6. The invoice amount of the returned merchandise was $13,500, and the cost of the returned merchandise was $8,000. Description   Debit Credit Customers Refunds Payable    13230   Cash      13230 Merchandise Inventory    8000   Estimated Returns Inventory      8000 May 20: Sold merchandise on account to Crescent Co., terms 1/10, n/30, FOB shipping point, $110,000. The cost of the merchandise sold was $70,000. Description   Debit Credit Accounts Receivable-Crescent Co.    108900   Sales      108900 Cost of Merchandise Sold    70000   Merchandise Inventory      70000 May 21: For the convenience of Crescent Co., paid freight on sale of May 20, $2,300. Description   Debit Credit Accounts Receivable-Crescent Co.    2300   Cash      2300 May 21: Received $42,900 cash from Gee Co. on account. Description   Debit Credit Cash    42900   Accounts Receivable-Gee Co.      42900 May 21: Purchased merchandise on account from Osterman Co., terms 1/10, n/30, FOB destination, $88,000. Description   Debit Credit Merchandise Inventory    87120   Accounts Receivable-Osterman Co.      87120 May 24: Returned damaged merchandise purchased on May 21, receiving a credit memo from the seller for $5,000. Description   Debit Credit Accounts Payable-Osterman Co.    4950   Merchandise Inventory      4950 May 26: Refunded cash on sales made for cash, $7,500. The cost of the merchandise returned was $4,800. Description   Debit Credit Customers Refunds Payable    7500   Cash      7500 Merchandise Inventory    4800   Estimated Returns Inventory      4800 May 28: Paid sales salaries of $56,000 and office salaries of $29,000. Description   Debit Credit Sales Salaries Expense    56000   Office Salaries Expense    29000   Cash      85000 May 29: Purchased store supplies for cash, $2,400. Description   Debit Credit Store Supplies    2400   Cash      2400 May 30: Sold merchandise on account to Turner Co., terms 2/10, n/30, FOB shipping point, $78,750. The cost of the merchandise sold was $47,000. Description   Debit Credit Accounts Receivable-Turner Co.    77175   Sales      77175 Cost of Merchandise Sold    47000   Merchandise Inventory      47000 May 30: Received cash from sale of May 20 plus freight paid on May 21. Description   Debit Credit Cash    111200   Accounts Receivable-Crescent Co.      111200 May 31: Paid for purchase of May 21, less return of May 24. Description   Debit Credit Accounts Payable-Osterman Co.    82170   Cash      82170

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Could you check if my journal entries for this information is correct?

Palisade Creek Co. is a merchandising business that uses the perpetual inventory system. The account balances for Palisade Creek Co. as of May 1, 2019 (unless otherwise indicated), are as follows:

110 Cash $83,600
112 Accounts Receivable 233,900
115 Merchandise Inventory 624,400
116 Estimated Returns Inventory 28,000
117 Prepaid Insurance 16,800
118 Store Supplies 11,400
123 Store Equipment 569,500
124 Accumulated Depreciation—Store Equipment 56,700
210 Accounts Payable 96,600
211 Customer Refunds Payable 50,000
212 Salaries Payable
310 Lynn Tolley, Capital, June 1, 2018 685,300
311 Lynn Tolley, Drawing 135,000
410 Sales 5,069,000
510 Cost of Merchandise Sold 2,823,000
520 Sales Salaries Expense 664,800
521 Advertising Expense 281,000
522 Depreciation Expense
523 Store Supplies Expense
529 Miscellaneous Selling Expense 12,600
530 Office Salaries Expense 382,100
531 Rent Expense 83,700
532 Insurance Expense
539 Miscellaneous Administrative Expense 7,800

May 1: Paid rent for May, $5,000.

Description

 

Debit

Credit

Rent Expense 

 

5000

 

Cash 

 

 

5000



May 3: Purchased merchandise on account from Martin Co., terms 2/10, n/30, FOB shipping point, $36,000.

Description

 

Debit

Credit

Merchandise Inventory 

 

35280

 

Accounts Payable-Martin Co. 

 

 

35280



May 4: Paid freight on purchase of May 3, $600.

Description

 

Debit

Credit

Merchandise Inventory 

 

600

 

Cash 

 

 

600



May 6: Sold merchandise on account to Korman Co., terms 2/10, n/30, FOB shipping point, $68,500. The cost of the merchandise sold was $41,000.

Description

 

Debit

Credit

Accounts Receivable-Korman Co. 

 

68500

 

Sales 

 

 

68500

Cost of Merchandise Sold 

 

41000

 

Merchandise Inventory 

 

 

41000



May 7: Received $22,300 cash from Halstad Co. on account.

Description

 

Debit

Credit

Cash 

 

22500

 

Accounts Receivable-Halstad Co. 

 

 

22500



May 10: Sold merchandise for cash, $54,000. The cost of the merchandise sold was $32,000.

Description

 

Debit

Credit

Cash 

 

54000

 

Sales 

 

 

54000

Cost of Merchandise Sold 

 

32000

 

Merchandise Inventory 

 

 

32000



May 13: Paid for merchandise purchased on May 3.

Description

 

Debit

Credit

Accounts Payable-Martin Co. 

 

35280

 

Cash 

   

35280



May 15: Paid advertising expense for last half of May, $11,000.

Description

  debit

Credit

Advertising Expense 

 

11000

 

Cash 

 

 

11000



May 16: Received cash from sale of May 6.

Description

 

Debit

Credit

Cash 

 

67130

 

Accounts Receivable-Korman Co. 

   

67130



May 19: Purchased merchandise for cash, $18,700.

Description

 

Debit

Credit

Merchandise Inventory 

 

18700

 

Cash 

 

 

18700



May 19: Paid $33,450 to Buttons Co. on account.

Description

 

Debit

Credit

Accounts Payable-Buttons Co. 

 

33450

 

Cash 

 

 

33450



May 20: Paid Korman Co. a cash refund of $13,230 for returned merchandise from sale of May 6. The invoice amount of the returned merchandise was $13,500, and the cost of the returned merchandise was $8,000.

Description

 

Debit

Credit

Customers Refunds Payable 

 

13230

 

Cash 

 

 

13230

Merchandise Inventory 

 

8000

 

Estimated Returns Inventory 

 

 

8000



May 20: Sold merchandise on account to Crescent Co., terms 1/10, n/30, FOB shipping point, $110,000. The cost of the merchandise sold was $70,000.

Description

 

Debit

Credit

Accounts Receivable-Crescent Co. 

 

108900

 

Sales 

 

 

108900

Cost of Merchandise Sold 

 

70000

 

Merchandise Inventory 

 

 

70000



May 21: For the convenience of Crescent Co., paid freight on sale of May 20, $2,300.

Description

 

Debit

Credit

Accounts Receivable-Crescent Co. 

 

2300

 

Cash 

 

 

2300



May 21: Received $42,900 cash from Gee Co. on account.

Description

 

Debit

Credit

Cash 

 

42900

 

Accounts Receivable-Gee Co. 

 

 

42900



May 21: Purchased merchandise on account from Osterman Co., terms 1/10, n/30, FOB destination, $88,000.

Description

 

Debit

Credit

Merchandise Inventory 

 

87120

 

Accounts Receivable-Osterman Co. 

 

 

87120



May 24: Returned damaged merchandise purchased on May 21, receiving a credit memo from the seller for $5,000.

Description

 

Debit

Credit

Accounts Payable-Osterman Co. 

 

4950

 

Merchandise Inventory 

 

 

4950



May 26: Refunded cash on sales made for cash, $7,500. The cost of the merchandise returned was $4,800.

Description

 

Debit

Credit

Customers Refunds Payable 

 

7500

 

Cash 

 

 

7500

Merchandise Inventory 

 

4800

 

Estimated Returns Inventory 

 

 

4800



May 28: Paid sales salaries of $56,000 and office salaries of $29,000.

Description

 

Debit

Credit

Sales Salaries Expense 

 

56000

 

Office Salaries Expense 

 

29000

 

Cash 

   

85000



May 29: Purchased store supplies for cash, $2,400.

Description

 

Debit

Credit

Store Supplies 

 

2400

 

Cash 

 

 

2400



May 30: Sold merchandise on account to Turner Co., terms 2/10, n/30, FOB shipping point, $78,750. The cost of the merchandise sold was $47,000.

Description

 

Debit

Credit

Accounts Receivable-Turner Co. 

 

77175

 

Sales 

 

 

77175

Cost of Merchandise Sold 

 

47000

 

Merchandise Inventory 

 

 

47000



May 30: Received cash from sale of May 20 plus freight paid on May 21.

Description

 

Debit

Credit

Cash 

 

111200

 

Accounts Receivable-Crescent Co. 

   

111200



May 31: Paid for purchase of May 21, less return of May 24.

Description

 

Debit

Credit

Accounts Payable-Osterman Co. 

 

82170

 

Cash 

   

82170



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