Zafar Bookstore returned certain merchandise, which it had purchased, from National Book Foundation. National Book Foundation allowed the bookstore full credit for this return against the account receivable from the bookstore. The returned merchandise had been purchased by Zafar Bookstore for $6,000, terms 2/15, N/35. Zafar Bookstore records purchases of merchandise net cost of any available cash discounts. Instructions: Prepare journal entries to record the return of this merchandise in the accounting records of (a) Zafar Bookstore and (b) National Book Foundation. Assume that the cost of the merchandise to National Book Foundation had been $3,800.
Zafar Bookstore returned certain merchandise, which it had purchased, from National Book Foundation. National Book Foundation allowed the bookstore full credit for this return against the account receivable from the bookstore. The returned merchandise had been purchased by Zafar Bookstore for $6,000, terms 2/15, N/35. Zafar Bookstore records purchases of merchandise net cost of any available cash discounts. Instructions: Prepare journal entries to record the return of this merchandise in the accounting records of (a) Zafar Bookstore and (b) National Book Foundation. Assume that the cost of the merchandise to National Book Foundation had been $3,800.
Chapter1: Financial Statements And Business Decisions
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Zafar Bookstore returned certain merchandise, which it had purchased, from National Book Foundation. National Book Foundation allowed the bookstore full credit for this return against the
The returned merchandise had been purchased by Zafar Bookstore for $6,000, terms 2/15, N/35. Zafar Bookstore records purchases of merchandise net cost of any available cash discounts.
Instructions:
Prepare
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