16.Merchandise is sold for cash. The selling price of the merchandise is $6,000, and the sale is subject to a 7% state sales tax. The journal entry for the sale would include a credit to a.Sales Tax Payable for $420 b.Cash for $6,000 c.Sales for $5,580 d.Sales for $6,240 17. Dollar Co. sold merchandise to Pound Co. on account, $25,500, terms 2/15, net 45. Pound Co. paid the invoice within the discount period. What is the amount of sales from these transactions? a.$26,010 b.$24,990 c.$25,500 d.$16,000 18. When a buyer returns merchandise purchased for cash, the buyer will journalize the transaction as a….. a.debit to Cash and a credit to Sales b.debit to Cash and a credit to Merchandise Inventory c.debit to Merchandise Inventory and a credit to Cash d.debit to Sales and a credit to Accounts Payable 19. A sales invoice included the following information: merchandise price, $8,700; terms 1/10, n/eom, FOB shipping point with prepaid freight of $1,100 added to the invoice. Assuming that a credit for merchandise returned of $800 (before discount) is granted prior to payment and the invoice is paid within the discount period, what amount of cash should be received by the seller? a.$10,505 b.$8,921 c.$792 d.$9,713 20. When merchandise purchased on account is returned under the perpetual inventory system, the buyer would debit a.Accounts Payable b.Merchandise Inventory c.Purchases Returns and Allowances d.Accounts Receivable
16.Merchandise is sold for cash. The selling price of the merchandise is $6,000, and the sale is subject to a 7% state sales tax. The
a.Sales Tax Payable for $420
b.Cash for $6,000
c.Sales for $5,580
d.Sales for $6,240
17. Dollar Co. sold merchandise to Pound Co. on account, $25,500, terms 2/15, net 45. Pound Co. paid the invoice within the discount period. What is the amount of sales from these transactions?
a.$26,010
b.$24,990
c.$25,500
d.$16,000
18. When a buyer returns merchandise purchased for cash, the buyer will journalize the transaction as a…..
a.debit to Cash and a credit to Sales
b.debit to Cash and a credit to Merchandise Inventory
c.debit to Merchandise Inventory and a credit to Cash
d.debit to Sales and a credit to Accounts Payable
19. A sales invoice included the following information: merchandise price, $8,700; terms 1/10, n/eom, FOB shipping point with prepaid freight of $1,100 added to the invoice. Assuming that a credit for merchandise returned of $800 (before discount) is granted prior to payment and the invoice is paid within the discount period, what amount of cash should be received by the seller?
a.$10,505
b.$8,921
c.$792
d.$9,713
20. When merchandise purchased on account is returned under the perpetual inventory system, the buyer would debit
a.Accounts Payable
b.Merchandise Inventory
c.Purchases Returns and Allowances
d.Accounts Receivable
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