Chapter 6, Problem 12E

Reporting Net Sales after Sales Discounts and Sales Returns

The following transactions were selected from among those completed by Bear’s Retail Store:

Nov.    20	Sold two items of merchandise to Cheryl Jahn, who paid the $400 sales price in cash. The goods cost Bear’s $300.
25	Sold 20 items of merchandise to Vasko Athletics at a selling price of $4,000 (total); terms 3/10, n/30. The goods cost Bear’s $2,500.
28	Sold 10 identical items of merchandise to Nancy’s Gym at a selling price of $6,000 (total); terms 3/10, n/30. The goods cost Bear’s $4,000.
29	Nancy’s Gym returned one of the items purchased on the 28th. The item was in perfect condition and credit was given to the customer.
Dec.    6	Nancy’s Gym paid the account balance in full.
30	Vasko Athletics paid in full for the invoice of November 25.

Required:

Compute the total revenue to be reported over the two months.