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The following transactions relate to Khan, Inc., a sporting goods wholesaler, during November of this year. Terms of sale are 2/10, n/30. The company is located in Denver, Colorado.
Nov. 3 Sold merchandise on account to Spence Tennis Shop, invoice no. 5420, $2,482.51. The cost of the merchandise was $1,961.18.
5 Issued credit memo no. 38 to Spence Tennis Shop for merchandise returned, $287.45. The cost of the merchandise was $227.09.
7 Bought merchandise on account from Maldonado Manufacturing, Inc., invoice no. 1548, $3,854.16; terms n/45; dated November 4; FOB Memphis, freight prepaid and added to the invoice, $135 (total $3,989.16).
9 Bought merchandise on account from Lozano, Inc., invoice no. 8755, $426.65; terms 1/15, n/30; dated November 5; FOB New York City, freight prepaid and added to the invoice, $67 (total $493.65).
12 Received credit memo no. 542 to Lozano, Inc., for merchandise returned, $102.20.
17 Sold merchandise on account to Jack’s Golfing Shop, invoice no. 5421, $486.35. The cost of the merchandise was $432.85.
23 Sold merchandise on account to Yates Sporting Goods, invoice no. 5422, $2,465.99. The cost of the merchandise was $1,972.79.
28 Bought merchandise on account from Fields, Inc., invoice no. 4599, $441.29; terms 2/10, n/30; dated November 25; FOB Austin, freight prepaid and added to the invoice, $102 (total $543.29).
Required
Record the transaction in the general journal using the perpetual inventory system. If using Working Papers, use pages 84 and 85.
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