July 01- Purchased merchandise from Boden Company for $6,700 under credit terms of 2/15; n / 30 , FOB shipping point, invoice dated July 1 July 02- Sold merchandise to Creek Company for $950 under credit terms of 2/10 , n / 60 FOB shipping point, invoice dated July 2. July 02- Record the cost of merchandise sold, $558 . July 03- Paid $110 cash for freight charges on the purchase of July 1 July 08- Record sale of merchandise for $2,4
July 01- Purchased merchandise from Boden Company for $6,700 under credit terms of 2/15; n / 30 , FOB shipping point, invoice dated July 1 July 02- Sold merchandise to Creek Company for $950 under credit terms of 2/10 , n / 60 FOB shipping point, invoice dated July 2. July 02- Record the cost of merchandise sold, $558 . July 03- Paid $110 cash for freight charges on the purchase of July 1 July 08- Record sale of merchandise for $2,4
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter4: Accounting For Retail Operations
Section: Chapter Questions
Problem 4.2P: Sales-related transactions The- following selected transactions were completed by Affordable...
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July 01-
Purchased merchandise from Boden Company for $6,700 under credit terms of 2/15; n / 30 , FOB shipping point, invoice dated July 1
July 02-
Sold merchandise to Creek Company for $950 under credit terms of 2/10 , n / 60 FOB shipping point, invoice dated July 2.
July 02-
Record the cost of merchandise sold, $558 .
July 03-
Paid $110 cash for freight charges on the purchase of July 1
July 08-
Record sale of merchandise for $2,400 cash
July 08-
Record cost of merchandise sold, $2,000.
July 09-
Purchased merchandise from Leight Company for $2,800 under credit terms of 2/15, n / 60 FOB destination , invoice dated July 9
July 11-
Returned $800 of merchandise purchased on July 9 from Leight Company and debited its account payable for that amount .
July 12-
Received the balance due from Creek Company for the invoice dated July 2,invoice net of the discount
July 16-
Paid the balance due to Boden Company within the discount period
July 19-
Sold merchandise to Art Company for $1,200 under credit terms of 2/15 , n / 60 , FOB shipping point , invoice dated July 19 .
July 19-
Record cost of merchandise sold, $800
July 21-
Gave a price reduction (allowance ) of $200 to Art Company for merchandise sold on July 19 and credited Art's accounts receivable for that amount .
July 24-
Paid Leight Company the balance due, net of discount
July 30-
Received the balance due from Art Company for the invoice dated July 19 , net of discount
July 31-
Sold merchandise to Creek Company for $7,400 under credit terms of 2/10, n / 60 , FOB shipping point, invoice dated July 31.
July 31-
Record cost of merchandise sold, $5,500
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