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Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $29,5ee of merchandise it purchases for resale from Troy: imvoice dated May 11, terms 3/18, n/98, FOB shipping point. The goods cost Troy $19,765. Sydney pays $335 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,280 of the $29,580 of goods to Troy, who receives then the same day and restores them to its inventory- The returned goods had cost Troy $884. 28 Sydney pays Troy for the amount owed. Troy receives the cash imnediately. (Both Sydney and Troy use a perpetual Inventory system and the gross method.) 1. Prepare Joural entries that Sydney Retailing (buyer) records for these three transactions. 2 Prepare Jourmal entries that Troy Wholesalers (seller) records for these three transactions.

Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $29,5ee of merchandise it purchases for resale from Troy: imvoice dated May 11, terms 3/18, n/98, FOB shipping point. The goods cost Troy $19,765. Sydney pays $335 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,280 of the $29,580 of goods to Troy, who receives then the same day and restores them to its inventory- The returned goods had cost Troy $884. 28 Sydney pays Troy for the amount owed. Troy receives the cash imnediately. (Both Sydney and Troy use a perpetual Inventory system and the gross method.) 1. Prepare Joural entries that Sydney Retailing (buyer) records for these three transactions. 2 Prepare Jourmal entries that Troy Wholesalers (seller) records for these three transactions.

Corporate Financial Accounting
Corporate Financial Accounting
14th Edition
ISBN:9781305653535
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter5: Accounting For Merchandising Businesses
Section: Chapter Questions
Problem 5.4APR: Sales-related and purchase-related transactions for seller and buyer using perpetual inventory...
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Exercise 5-7 Recording sales, purchases, shipplng, and returns-buyer and seller LO P1, P2 Sydney Retaling (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $29,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/18, n/98, FOB shipping point. The goods cost Troy $19,765. Sydney pays $335 cash to Express Shipping for delivery charges on the nerchandise. 12 Sydney returns $1,200 of the $29,509 of goods to Troy, who receives then the same day and restores them to its inventory. The returned goods had cost Troy $884. 20 Sydney pays Troy for the anount owed. Troy receives the cash innediately. (Both Sydney and Troy use a perpetual Inventory system and the gross method.) 1. Prepare Journal entries that Sydney Retalling (buyer) records for these three transactions. 2 Prepare jourmal entries that Troy Wholesalers (seller records for these three transactions. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. Vlew transaction let Journal entry worksheet 1 2 3 4 Sydney accepts delivery of $29,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $19,765. Note: Enter debits before credits. Date General Journal Debit Credit May 11
Transcribed Image Text:Exercise 5-7 Recording sales, purchases, shipplng, and returns-buyer and seller LO P1, P2 Sydney Retaling (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $29,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/18, n/98, FOB shipping point. The goods cost Troy $19,765. Sydney pays $335 cash to Express Shipping for delivery charges on the nerchandise. 12 Sydney returns $1,200 of the $29,509 of goods to Troy, who receives then the same day and restores them to its inventory. The returned goods had cost Troy $884. 20 Sydney pays Troy for the anount owed. Troy receives the cash innediately. (Both Sydney and Troy use a perpetual Inventory system and the gross method.) 1. Prepare Journal entries that Sydney Retalling (buyer) records for these three transactions. 2 Prepare jourmal entries that Troy Wholesalers (seller records for these three transactions. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. Vlew transaction let Journal entry worksheet 1 2 3 4 Sydney accepts delivery of $29,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $19,765. Note: Enter debits before credits. Date General Journal Debit Credit May 11
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