The following balances are found in the general ledger of GHI Sales after recording he necessary adjusting entries, except for inventories, in the year 2014: 5,000,000 2,100,000 10,000 Purchases Freight-in Purchase Returns 20,000 Inventory, beginning Castro, Capital Castro, Drawing 50,000 2,000,000 500,000 Sales Sales Returns 5,000 10,000 Selling Expense Interest Revenue 25,000 450,000 Interest Expense 15,000 Accounts Payable 202.000 Sales Discounts Administrative Expense 500,000 Accounts Receivable 1,500,000 The ending inventory based on physical count in P140.000.
The following balances are found in the general ledger of GHI Sales after recording he necessary adjusting entries, except for inventories, in the year 2014: 5,000,000 2,100,000 10,000 Purchases Freight-in Purchase Returns 20,000 Inventory, beginning Castro, Capital Castro, Drawing 50,000 2,000,000 500,000 Sales Sales Returns 5,000 10,000 Selling Expense Interest Revenue 25,000 450,000 Interest Expense 15,000 Accounts Payable 202.000 Sales Discounts Administrative Expense 500,000 Accounts Receivable 1,500,000 The ending inventory based on physical count in P140.000.
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter6: Accounting For Merchandising Businesses
Section: Chapter Questions
Problem 5PA: The following selected accounts and their current balances appear in the ledger of Clairemont Co....
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a. Prepare the required adjusting entries for inventory under perpetual and periodic inventory system.
Transcribed Image Text:The following balances are found in the general ledger of GHI Sales after recording
the necessary adjusting entries, except for inventories, in the year 2014:
5,000,000
5,000
Purchases
Freight-in
Purchase Returns
2,100,000
10,000
20,000
Inventory, beginning
Castro, Capital
Castro, Drawing
50,000
2,000,000
500,000
500,000
Sales
Sales Returns
Sales Discounts
10,000
Interest Revenue 25,000
Selling Expense 450,000
Interest Expense 15,000
Accounts Payable 300.000
Administrative Expense
Accounts Receivable
1,500,000
The ending inventory based on physical count in P140,000.
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