Chapter 9, Problem 7E

Record the following transactions for a perpetual inventory system in general journal form.

1. a. Sold merchandise on account to Southridge Manufacturing, Inc., invoice no. 6910, $1,815.24. The cost of merchandise was $1,320.
2. b. Issued credit memorandum no. 56 to Southridge Manufacturing, Inc., for merchandise returned, $622. The cost of the merchandise was $485.
3. c. Bought merchandise on account from Michal’s Inc., invoice no. 1685, $850; terms 1/10, n/30; dated April 14; FOB Dallas, freight prepaid and added to the invoice, $65.00 (total $915).
4. d. Received credit memorandum no. 219 from Michal’s Inc. for merchandise returned, $210.