Zeal Inc. Incorporation completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Zeal Inc. showed Cash of $8,000 and Zeal Inc., Capital of $45,000. Zeal Inc. incorporation follows the perpetual inventory system. May 3: Sold merchandise for cash to Seliece Co., $5,400. The cost of the merchandise sold was $4,800. May 6: Purchased merchandise on account from Rendick Co., $8,000, terms FOB Destination, 5/10, n/30, The relevant company paid the freight charge of $100. May 7: Purchased Equipment on credit $45,000. The equipment will be used by the business. May 8: Received $500 credit for merchandise inventory returned to Rendick Co. May 12: Paid Rendick Co. in full. May 15: Made refunds to Seliece Co. for defective merchandise $400. The returned merchandise had a scrap value of $50 only. Instruction: Journalize the above mentioned transactions. (Note: for transactions having multiple entries, write the greater entries first. While spaces for multiple entries are given for all the transactions, not all transactions will have multiple entries).

Zeal Inc. Incorporation completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Zeal Inc. showed Cash of $8,000 and Zeal Inc., Capital of $45,000. Zeal Inc. incorporation follows the perpetual inventory system. May 3: Sold merchandise for cash to Seliece Co., $5,400. The cost of the merchandise sold was $4,800. May 6: Purchased merchandise on account from Rendick Co., $8,000, terms FOB Destination, 5/10, n/30, The relevant company paid the freight charge of $100. May 7: Purchased Equipment on credit $45,000. The equipment will be used by the business. May 8: Received $500 credit for merchandise inventory returned to Rendick Co. May 12: Paid Rendick Co. in full. May 15: Made refunds to Seliece Co. for defective merchandise $400. The returned merchandise had a scrap value of $50 only. Instruction: Journalize the above mentioned transactions. (Note: for transactions having multiple entries, write the greater entries first. While spaces for multiple entries are given for all the transactions, not all transactions will have multiple entries).

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter11: Work Sheet And Adjusting Entries

Section: Chapter Questions

Problem 4PB: The accounts and their balances in the ledger of Markeys Mountain Shop as of December 31, the end of...

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