April ed the following inventory transactions in April. 3 Purchased merchandise from DeVito Ltd. for $35,000, terms 2/10, n/30, FOB shipping point. The appropriate company paid freight costs of $600 on the merchandise purchased on April 3. Purchased supplies on account for $5,100. 6 7 8 Returned merchandise to DeVito and received a credit of $4,200. The merchandise was returned to inventory for future resale. Paid the amount due to DeVito in full. 30 Record the above transactions on Flounder's books. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem. List all debit entries before credit entries) Account Titles and Explanation Date Apr. 3 V Merchandising Devito Limited Freight-Inward Expenses Cash Supplies Accounts Payable Devito Limited Merchandise Devito limited Cash Debit 35000 600 5100 4200 30800 Credit 35000 600 5100 4200 30800

April ed the following inventory transactions in April. 3 Purchased merchandise from DeVito Ltd. for $35,000, terms 2/10, n/30, FOB shipping point. The appropriate company paid freight costs of $600 on the merchandise purchased on April 3. Purchased supplies on account for $5,100. 6 7 8 Returned merchandise to DeVito and received a credit of $4,200. The merchandise was returned to inventory for future resale. Paid the amount due to DeVito in full. 30 Record the above transactions on Flounder's books. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem. List all debit entries before credit entries) Account Titles and Explanation Date Apr. 3 V Merchandising Devito Limited Freight-Inward Expenses Cash Supplies Accounts Payable Devito Limited Merchandise Devito limited Cash Debit 35000 600 5100 4200 30800 Credit 35000 600 5100 4200 30800

Name: April3 Purchased merchandise from DeVito Ltd. for $35,000, terms 2/10
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Description: April3 Purchased merchandise from DeVito Ltd. for $35,000, terms 2/10, n/30, FOB shipping point.The appropriate company paid freight costs of $600 on the merchandise purchased on April 3.Purchased supplies on account for $5,100.678 Returned merchand

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter4: Accounting For Retail Operations

Section: Chapter Questions

Problem 4.1P: Purchase-related transactions The following selected transactions were completed by Epic Co. during...

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Purchase-related transactions The following selected transactions were completed by Epic Co. during August of the curr ent year: Aug. 3. Purchased merchandise on account for $33400, terms FOB destination. 2/10. n/30. 9. Issued debit memorandum for $2500 ($2450 net of 2% discount) for merchandise from the August 3 purchase that was damaged in shipment. 10. Purchased merchandise on account, $25,000, terms FOB shipping point, n/com. Paid $600 cash to the freight company for delivery of the merchandise. 13. Paid for invoice of August 3, less debit memorandum of August 9 31. Paid for invoice of August 10. Instructions Illustrate the effects of each of the preceding transactions on the accounts and financial statements of Epic Co. Identify each transaction by date.
RE7-8 Johnson Company uses a perpetual inventory system. On October 23, Johnson purchased 100,000 of inventory on credit with payment terms of 1/15, net 45. Using the net price method, prepare journal entries to record Johnsons purchases on October 23 and the subsequent payment on October 31. Using the information from RE7-8, prepare journal entries to record Johnsons purchase on October 23 and the subsequent payment on November 30.
Sales-related transactions The- following selected transactions were completed by Affordable Supplies Co., which sells supplies primarily to wholesalers and occasionally to retail customers. Jan. 6. Sold merchandise on account, $14,000. terms FOB shipping point, n/com. The cost of merchandise sold was $8,400. 8. Sold merchandise on account. $20,000. terms FOB destination. 1/10. n/30. The cost of merchandise sold was $14,000. 16. Sold merchandise on account, $19-500. terms FOB shipping point, n/30. The cost of merchandise sold was $11,700. 18. Received check for amount due for sale on January 8. 19. Issued credit memorandum for $4,500 for merchandise returned from sale on January 16. The cost of the merchandise returned was $2,700. 26. Received check for amount due for sale on January 16 less credit memorandum of January 19. 31. Paid Cashell Delivery Service $3,000 for merchandise delivered during January to customers under shipping terms of FOB destination. 31. Received cheek for amount due for sale of January 6. Instructions Illustrate the effects of each of the preceding transactions on the accounts and financial statements of Affordable Supplies Co. Identify each transaction by date.
Analyzing the Accounts Casey Company uses a perpetual inventory system and engaged in the following transactions: a. Made credit sales of $825,000. The cost of the merchandise sold was $560,000. b. Collected accounts receivable in the amount of $752,600. c. Purchased goods on credit in the amount of $574,300. d. Paid accounts payable in the amount of $536,200. Required: Prepare the journal entries necessary to record the transactions. Indicate whether each transaction increased cash, decreased cash, or had no effect on cash.