Prepare the appropriate adjusting entry under the perpetual inventory system.

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Current Attempt in Progress Prepare the necessary journal entries to record the following transactions, assuming Cullumber Company uses a perpetual inventory system. (a) Cullumber sells $57,500 of merchandise, terms 1/10, n/30. The merchandise cost $39,220. (b) The customer in (a) returned $5,300 of merchandise to Cullumber. The merchandise returned cost $3,710. (c) Cullumber received the balance due within the discount period. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Transactions Account Titles and Explanation (a) (To record credit sale.) (To record cost of goods sold.) Debit Credit SU

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Chapter 14, Problem 5CE

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Prepare the appropriate adjusting entry under the perpetual inventory system.

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Current Attempt in Progress Prepare the necessary journal entries to record the following transactions, assuming Cullumber Company uses a perpetual inventory system. (a) Cullumber sells $57,500 of merchandise, terms 1/10, n/30. The merchandise cost $39,220. (b) The customer in (a) returned $5,300 of merchandise to Cullumber. The merchandise returned cost $3,710. (c) Cullumber received the balance due within the discount period. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Transactions Account Titles and Explanation (a) (To record credit sale.) (To record cost of goods sold.) Debit Credit SU

Required: 1. Journalize the transactions under the periodic inventory system 2. Post the journal entries to the ledger using the following account titles: Cash, Accounts receivables, Accounts payable, Sales, Sales discount, Sales returns & allowances, Purchases, Purchase discounts and Purchase returns & allowances. 3. Prepare the Trial Balance as May 31, 2019. Purchased merchandise for P 50,000 on credit, terms 2/10, n/30 Sold merchandise for P 5,000 on credit, terms 2/30, n/30 Returned P 10,000 of the merchandise purchased on May 6 for credit. Paid merchandise purchased dated May 6, less return and discount. Received payment from the customer of May 10 with less discount. Sold merchandise for P 10,000 on credits, term 2/10, n/30. Customer of May 22 returned P 2,000 of merchandise for credit. Purchased merchandise for P 20,000 on credit, terms n/30. May 6 10 12 15 18 22 27 30

Journalize entries for the following related transactions of Lilly Heating & Air Company who uses the net method under a perpetual inventory system. (If an amount box does not require an entry, leave it blank.) a. Purchased $36,000 of merchandise from Schell Co. on account, terms 1/10, n/30.