This information relates to Kingbird Co.1. On April 5, purchased merchandise from Blossom Company for $25,000, terms 2/10, n/30.2. On April 6, paid freight costs of $500 on merchandise purchased from Blossom.3. On April 7, purchased equipment on account for $30,000.4. On April 8, returned $3,500 of April 5 merchandise to Blossom Company.5. On April 15, paid the amount due to Blossom Company in full.(a)Prepare the journal entries to record the transactions listed above on Kingbird Co.’s books. Kingbird Co. uses a perpetual inventory system. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)No.DateAccount Titles and ExplanationDebitCredit1.choose a transaction date April 5April 6April 7April 8April 15May 4enter an account title enter a debit amount enter a credit amount   enter an account title enter a debit amount enter a credit amount 2.choose a transaction date April 5April 6April 7April 8April 15May 4enter an account title enter a debit amount enter a credit amount   enter an account title enter a debit amount enter a credit amount 3.choose a transaction date April 5April 6April 7April 8April 15May 4enter an account title enter a debit amount enter a credit amount   enter an account title enter a debit amount enter a credit amount 4.choose a transaction date April 5April 6April 7April 8April 15May 4enter an account title enter a debit amount enter a credit amount   enter an account title enter a debit amount enter a credit amount 5.choose a transaction date April 5April 6April 7April 8April 15May 4enter an account title enter a debit amount enter a credit amount   enter an account title enter a debit amount enter a credit amount   enter an account title enter a debit amount enter a credit amount (b)Assume that Kingbird Co. paid the balance due to Blossom Company on May 4 instead of April 15. Prepare the journal entry to record this payment. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)DateAccount Titles and ExplanationDebitCreditMay 4enter an account title enter a debit amount enter a credit amount  enter an account title enter a debit amount enter a credit amount

Question
Asked Sep 30, 2019
312 views

This information relates to Kingbird Co.

1.   On April 5, purchased merchandise from Blossom Company for $25,000, terms 2/10, n/30.
2.   On April 6, paid freight costs of $500 on merchandise purchased from Blossom.
3.   On April 7, purchased equipment on account for $30,000.
4.   On April 8, returned $3,500 of April 5 merchandise to Blossom Company.
5.   On April 15, paid the amount due to Blossom Company in full.


(a)

Prepare the journal entries to record the transactions listed above on Kingbird Co.’s books. Kingbird Co. uses a perpetual inventory system. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

No.
Date
Account Titles and Explanation
Debit
Credit
1.
choose a transaction date
 April 5April 6April 7April 8April 15May 4
enter an account title
 
enter a debit amount
 
enter a credit amount
 
   
enter an account title
 
enter a debit amount
 
enter a credit amount
 
2.
choose a transaction date
 April 5April 6April 7April 8April 15May 4
enter an account title
 
enter a debit amount
 
enter a credit amount
 
   
enter an account title
 
enter a debit amount
 
enter a credit amount
 
3.
choose a transaction date
 April 5April 6April 7April 8April 15May 4
enter an account title
 
enter a debit amount
 
enter a credit amount
 
   
enter an account title
 
enter a debit amount
 
enter a credit amount
 
4.
choose a transaction date
 April 5April 6April 7April 8April 15May 4
enter an account title
 
enter a debit amount
 
enter a credit amount
 
   
enter an account title
 
enter a debit amount
 
enter a credit amount
 
5.
choose a transaction date
 April 5April 6April 7April 8April 15May 4
enter an account title
 
enter a debit amount
 
enter a credit amount
 
   
enter an account title
 
enter a debit amount
 
enter a credit amount
 
   
enter an account title
 
enter a debit amount
 
enter a credit amount
 


(b)

Assume that Kingbird Co. paid the balance due to Blossom Company on May 4 instead of April 15. Prepare the journal entry to record this payment. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date
Account Titles and Explanation
Debit
Credit
May 4
enter an account title
 
enter a debit amount
 
enter a credit amount
 
 
enter an account title
 
enter a debit amount
 
enter a credit amount
 
check_circle

Expert Answer

Step 1

a.

Prepare the journal entries to record the transactions listed above on Kingbird Co....

help_outline

Image Transcriptionclose

Account titles and Explanation Debit Credit Date Merchandise inventory Accounts payable April 5 $25,000 $25,000 Freight inward $500 April 6 $500 Cash Equipment Accounts payable $30,000 April 7 $30,000 April 8 Accounts payable $3,500 Merchandise inventory $3,500 Accounts payable ($25,000- $3,500) Trade discount ($25,000 - $3,500)*2%) $21,500 April 15 $430 $21,070 Cash

fullscreen

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Financial Accounting

Related Accounting Q&A

Find answers to questions asked by student like you
Show more Q&A
add
question_answer

Q: What items are not presented on the income statement?

A: Income statement:The financial statement which reports revenues and expenses from business operation...

question_answer

Q: Preferred Stock Rate of Return What is the required rate of return on a preferred stock with a $50 p...

A: Calculation of dividend:

question_answer

Q: Portfolio Required Return Suppose you manage a $4.71 million fund that consists of four stocks with ...

A: Portfolio required return helps in calculating the anticipated profit and losses from portfolio of a...

question_answer

Q: On January 1, Intergen, Inc., invests $200,000 for a40 percentinterest in Ryan, a new jointventure w...

A: The total return percentage on investment is total return divided by investments.

question_answer

Q: Please help

A: 1.Prepare journal entry to record the establishment of the petty cash fund on September 4.

question_answer

Q: Applying and Analyzing Inventory Costing MethodsAt the beginning of the current period, Chen carried...

A: Solution:

question_answer

Q: I am taking TCA 221 class. I am in Ch.2 now, which is Accounting for Business Transactions. The ques...

A: Journal entry for given transaction:Thus, there are two items, these are accounts payable and cash. 

question_answer

Q: Record the purchase of supplies account for future use, $7.

A: Given transaction is "Purchase of supplies for future use at $7". It indicates increase in Supplies ...

question_answer

Q: James Corp. applies overhead on the basis of direct labor hours. For the month of May, the company p...

A: Overhead: Overhead refers to the costs, which are utilized in business activities, however cannot be...