The Williams Company sells a product called Mix-Right for $15 each and uses a perpetual inventory system to account for its merchandise. The beginning balance of Mix-Rights and transactions during October 2020 were as follows: Oct 1 Balance: 94 units costing $5 each. 3 Purchased 109 units from Arnold Brothers costing $7.50 each 4 Returned 29 of the units purchased on October 3. 9 Sold 84 units to Kitchen Club, invoice #210. 15 Purchased 209 units from Arnold Brothers costing $8.20 each. 18 Sold 168 units to Thorhild Co-op, invoice #211. 19 Paid for the October 3 purchase; cheque #101. 23 Paid for the October 15 purchase, cheque #102. 24 Sold 59 units to Boyle Grocery, invoice #212. 31 Purchased 84 units from Arnold Brothers costing $8.00 each. Q: Journalize the October transactions in the sales, purchases, and cash disbursements journals. Assume all sales and purchases are on credit; terms 2/10, n/30. Under the assumption that the company keeps its records on a weighted average basis, enter the beginning balances and post each transaction on an inventory sub-ledger record. Posting to other sub-ledgers is not required. (Enter in the order provided and two decimal places) Sales Journal (Format Image 1): Purchase Journal (Format Image 2): Cash Disembursements (Format Image 2)

Quickbooks Online Accounting

3rd Edition

ISBN:9780357391693

Author:Owen

Publisher:Owen

Chapter5: Operating Activities: Purchases And Cash Payments

Section: Chapter Questions

Problem 2.7C

See similar textbooks

Related questions

Question

The Williams Company sells a product called Mix-Right for $15 each and uses a perpetual inventory system to account for its merchandise. The beginning balance of Mix-Rights and transactions during October 2020 were as follows:

Oct	1	Balance: 94 units costing $5 each.
	3	Purchased 109 units from Arnold Brothers costing $7.50 each
	4	Returned 29 of the units purchased on October 3.
	9	Sold 84 units to Kitchen Club, invoice #210.
	15	Purchased 209 units from Arnold Brothers costing $8.20 each.
	18	Sold 168 units to Thorhild Co-op, invoice #211.
	19	Paid for the October 3 purchase; cheque #101.
	23	Paid for the October 15 purchase, cheque #102.
	24	Sold 59 units to Boyle Grocery, invoice #212.
	31	Purchased 84 units from Arnold Brothers costing $8.00 each.

Q:
Journalize the October transactions in the sales, purchases, and cash disbursements journals. Assume all sales and purchases are on credit; terms 2/10, n/30. Under the assumption that the company keeps its records on a weighted average basis, enter the beginning balances and post each transaction on an inventory sub-ledger record. Posting to other sub-ledgers is not required. (Enter in the order provided and two decimal places)

Sales Journal (Format Image 1):

Purchase Journal (Format Image 2):

Cash Disembursements (Format Image 2)

Purchases Journal
Merchandise
Inventory
Debit
Other
Accounts
Accounts
Office
Date (2020)
Account Credited
Payable
Credit
Supplies
Debit
Debit
WILLIAMS COMPANY
Cash Disbursements Journal
Other
Cash
Credit
Merchandise
Inventory Cr.
Ch.
Date (2020)
Accts.
Debit
Accts. Payable
Debit
Payee
Account Debited
No.

WILLIAMS COMPANY
Sales Journal
COGS Dr.
Invoice
A/R Dr.
Date (2020) Account Debited
Merchandise
Number
Sales Cr.
Inventory Cr.

Expert Solution

Step by step

Solved in 2 steps with 4 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.