M3-3 (Static) Identifying Revenues LO3-2, 3-3The following transactions are July activities of Bennett's Bowling, Inc., which operates several bowling centers, offering customerslanes for games and merchandise for sale.a. Bennett's collected $15,000 from customers for games played in July.b. Bennett's sold bowling merchandise inventory from its pro shop for $800; received $300 in cash and customers owed the reston account. (Consider only the effect on revenue here.)c. Bennett's received $400 from customers who purchased merchandise in June on account.d. The men's and ladies' bowling leagues gave Bennett's a deposit of $2,500 for the upcoming fall season.If revenue is not recognized in July, choose 'None' for the account affected. If revenue is to be recognized in July, indicate the revenueaccount title and amount.RevenueAccount AffectedAmount ofRevenuea.bC.d. M3-2 (Algo) Reporting Cash Basis versus Accrual Basis Income LO3-3Skidmore Music Company had the following transactions in March:a. Sold instruments to customers for $16,300; received $10,200 in cash and the rest on account. The cost of the instruments was$7,200.b. Purchased $4,500 of new instruments inventory; paid $1,100 in cash and owed the rest on account.c. Paid $620 in wages to employees who worked during the month.d. Received $4,900 from customers as deposits on orders of new instruments to be sold to the customers in April.e. Received a $250 bill for March utilities that will be paid in April.Complete the following statements:Cash Basis Income StatementAccrual Basis Income StatementRevenuesCash salesSales to customersCustomer depositsInventory purchasesCost of salesWages paidWages expenseUtilities expenseRevenuesExpensesNet incomeExpensesNet income

Name: M3-3 (Static) Identifying Revenues LO3-2, 3-3The following transactio
Uploaded: 2024-03-04T10:43:15.000Z
Channel: Bartleby
Description: M3-3 (Static) Identifying Revenues LO3-2, 3-3The following transactions are July activities of Bennett's Bowling, Inc., which operates several bowling centers, offering customerslanes for games and merchandise for sale.a. Bennett's collected $15,000

Note: Hi! Thank you for the question As per the honor code, We’ll answer the first question since…

Business

Accounting

M3-2 (Algo) Reporting Cash Basis versus Accrual Basis Income LO3-3 Skidmore Music Company had the following transactions in March: a. Sold instruments to customers for $16,300; received $10,200 in cash and the rest on account. The cost of the instruments was $7,200. b. Purchased $4,500 of new instruments inventory; paid $1,100 in cash and owed the rest on account. c. Paid $620 in wages to employees who worked during the month. d. Received $4,900 from customers as deposits on orders of new instruments to be sold to the customers in April. e. Received a $250 bill for March utilities that will be paid in April. Complete the following statements: Cash Basis Income Statement Accrual Basis Income Statement Revenues Cash sales Sales to customers Customer deposits Inventory purchases Cost of sales Wages paid Wages expense Utilities expense Revenues Expenses Net income Expenses Net income

M3-2 (Algo) Reporting Cash Basis versus Accrual Basis Income LO3-3 Skidmore Music Company had the following transactions in March: a. Sold instruments to customers for $16,300; received $10,200 in cash and the rest on account. The cost of the instruments was $7,200. b. Purchased $4,500 of new instruments inventory; paid $1,100 in cash and owed the rest on account. c. Paid $620 in wages to employees who worked during the month. d. Received $4,900 from customers as deposits on orders of new instruments to be sold to the customers in April. e. Received a $250 bill for March utilities that will be paid in April. Complete the following statements: Cash Basis Income Statement Accrual Basis Income Statement Revenues Cash sales Sales to customers Customer deposits Inventory purchases Cost of sales Wages paid Wages expense Utilities expense Revenues Expenses Net income Expenses Net income

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter10: Cash Receipts And Cash Payments

Section: Chapter Questions

Problem 5PA: The following transactions were completed by Nelsons Boutique, a retailer, during July. Terms of...

See similar textbooks

Similar questions

The following selected transactions were completed by Green Lawn Supplies Co., which sells irrigation supplies primarily to wholesalers and occasionally to retail customers: July 1. Sold merchandise on account to Landscapes Co., $15,500, terms FOB shipping point, n/eom. The cost of merchandise sold was $9,300. 2. Sold merchandise for $19,700 plus 5% sales tax to retail cash customers. The cost of merchandise sold was $12,800. 5. Sold merchandise on account to Peacock Company, $32,600, terms FOB destination, 1/10, n/30. The cost of merchandise sold was $21,200. 8. Sold merchandise for $8,300 plus 8% sales tax to retail customers who used VISA cards. The cost of merchandise sold was $5,000. 13. Sold merchandise to customers who used MasterCard cards, $5,000. The cost of merchandise sold was $3,200. 14. Sold merchandise on account to Loeb Co., $13,200, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was $7,800. 15. Received check for amount due from…
2. Journalize the entries to record the transactions of Rayne Supplies Co. The following selected transactions were completed by Rayne Supplies Co., which sells irrigation supplies primarily to wholesalers and occasionally to retail customers: Aug 1 Sold merchandise on account to Tomahawk Co., P12,500, terms FOB ship- ping point, n/eom. The cost of merchandise sold was P7,500. 2 Sold merchandise for P20,000 plus 7% sales tax to retail cash customers. The cost of merchandise sold was P13,100. 5 Sold merchandise on account to Epworth Company, P30,000, terms FOB destination, 1/10, n/30. The cost of merchandise sold was P19,500. 8 Sold merchandise for P11,500 plus 7% sales tax to retail customers who used VISA cards. The cost of merchandise sold was P7,000. 13 Sold merchandise to customers who used MasterCard cards, P8,000. The cost of merchandise sold was P5,000. 14 Sold merchandise on account to Osgood Co., P11,800, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was…
The following selected transactions were completed by Green Lawn Supplies Co., which sells irrigation supplies primarily to wholesalers and occasionally to retail customers:July 1. Sold merchandise on account to Landscapes Co., $33,450, terms FOB shipping point, n/eom. The cost of merchandise sold was $20,000.2. Sold merchandise for $86,000 plus 8% sales tax to retail cash customers. The cost of merchandise sold was $51,600.5. Sold merchandise on account to Peacock Company, $17,500, terms FOBdestination, 1/10, n/30. The cost of merchandise sold was $10,000.8. Sold merchandise for $112,000 plus 8% sales tax to retail customers who used VISA cards. The cost of merchandise sold was $67,200.13. Sold merchandise to customers who used MasterCard cards, $96,000. The cost of merchandise sold was $57,600.14. Sold merchandise on account to Loeb Co., $16,000, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was $9,000.15. Received check for amount due from Peacock Company for…
Consider the following transactions of Johnson Software: Mar. 31 Apr. 6 Journalize the transactions for the company. Ignore cost of goods sold. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Recorded cash sales of $160,000, plus sales tax of 7% collected for the state of New Jersey. Sent March sales tax to the state. Mar. 31: Recorded cash sales of $160,000, plus sales tax of 7% collected for the state of New Jersey. (Prepare a single compound entry for this transaction.) Accounts and Explanation Date Mar. 31 Debit Credit
Target Shoppers Inc. reported cash sales of $28,800 for the month of June. Sales taxes payable are recorded at the point of sale. a. Assume that sales are subject to a 6% sales tax. Record the sales entry.b. Now assume that the cash collected on sales includes the 6% sales tax. Record the sales entry. ● Note: Round your answers to the nearest whole dollar. Account Name Dr. Cr. a. To record the sale entry. b. To record the sale entry.
nd K The following transactions were selected from among those completed by Bennett Retailers in November and December: Sold 20 items of merchandise to Customer B at an invoice price of $5,500 (total); terms 3/10, n/30. Sold two items of merchandise to Customer C, who charged the $400 (total) sales price on her Visa credit card. Visa charges Bennett Retailers a 2 percent credit card fee. Sold 10 identical items of merchandise to Customer D at an invoice price of $9,000 (total); terms 3/10, n/30. November 29 Customer D returned one of the items purchased on the 28th; the item was defective and credit was given to the customer. December 6. Customer D paid the account balance in full. December 201 Customer B paid in full for the invoice of November 20. November 201 November 25 November 28 Required: Assume that Sales Returns and Allowances, Sales Discounts, and Credit Card Discounts are treated as contra-revenues; compute net sales for the two months ended December 31. Note: Do not round…
Record the following selected transactions in the general journal of Lee’s TV & Electronics Repair. Assume that the company uses a periodic inventory system, Scotiabank charges merchants $0.50 per debit card transaction, PayPal charges 1% of sales as service fees and MasterCard charges 4% of sales as service fees. Mar. 4 Recorded Scotiabank debit card sales of $12,000, consisting of 150 transactions. 10 Recorded MasterCard credit card sales of $10,000. 15 Credit sales of $14,600 were recorded, 2/10, n/30. Apr. 1 AeroPlan card was accepted for $3,100 of payments. This card requires that receipts are submitted for payment manually. A 2% fee applies. May 8 PayPal sales of $35,000 was received. 18 Wrote off $700 of accounts receivables. 31 Bad debts were estimated to be 2% of the $750,000 accounts receivable balance. There was a $900 credit balance in the allowance for doubtful accounts.
Pepper Company completed the following selected transactions and events during March of this year. (Terms of allcredit sales for the company are 2/10, n/30.) Mar. Sold merchandise on credit to Jennifer Nelson, Invoice No. 954, for P16,800 (cost is P12,200). 4 6 Purchased P1,220 of office supplies on credit from Mack Company. Invoice dated March 3, termsny30. Sold merchandise on credit to Dennie Hoskins, Invoice No. 955, for P10,200 (cost is 6 P8,100). Purchased P52,600 of merchandise, invoice dated March 6, terms 2y10, ny30, from 11 Defore Industries. 12 Borrowed P26,000 cash by giving Commerce Bank a long-term promissory note payable. Received cash payment from Jennifer Nelson for the March 4 sale less the discount (Invoice No. 954). 14 16 Received a P200 credit memorandum from Defore Industries for unsatisfactory merchandise Pepper purchased on March 11 and later returned. Received cash payment from Dennie Hoskins for the March 6 sale less the discount 16 (Invoice No. 955). Purchased…
Can I please get help with this question? (4) Wiset Company completes these transactions during April of the current year (the terms of all its credit sales are 2/10, n/30). April 2 Purchased $14,700 of merchandise on credit from Noth Company, terms 2/10, n/60. April 3 (a) Sold merchandise on credit to Page Alistair, Invoice Number 760, for $7,000 (cost is $6,000). April 3 (b) Purchased $1,470 of office supplies on credit from Custer, Incorporated, terms n/30. April 4 Issued Check Number 587 to World View for advertising expense of $859. April 5 Sold merchandise on credit to Paula Kohr, Invoice Number 761, for $17,000 (cost is $15,500). April 6 Returned $70 of office supplies purchased on April 3 to Custer, Incorporated. Wiset reduces accounts payable by that amount. April 9 Purchased $12,025 of store equipment on credit from Hal’s Supply, terms n/30. April 11 Sold merchandise on credit to Nic Nelson, Invoice Number 762, for $21,500 (cost is $18,000). April 12…
Can I please get help with this practice with a short description of how it was done? Wiset Company completes these transactions during April of the current year (the terms of all its credit sales are 2/10, n/30). April 2 Purchased $14,700 of merchandise on credit from Noth Company, terms 2/10, n/60. April 3 (a) Sold merchandise on credit to Page Alistair, Invoice Number 760, for $7,000 (cost is $6,000). April 3 (b) Purchased $1,470 of office supplies on credit from Custer, Incorporated, terms n/30. April 4 Issued Check Number 587 to World View for advertising expense of $859. April 5 Sold merchandise on credit to Paula Kohr, Invoice Number 761, for $17,000 (cost is $15,500). April 6 Returned $70 of office supplies purchased on April 3 to Custer, Incorporated. Wiset reduces accounts payable by that amount. April 9 Purchased $12,025 of store equipment on credit from Hal’s Supply, terms n/30. April 11 Sold merchandise on credit to Nic Nelson, Invoice Number 762, for…
ook ne nces Supply Club, Incorporated, sells a variety of paper products, office supplies, and other products used by businesses and individual consumers. During July 2024, it started a loyalty program through which qualifying customers can accumulate points and redeem those points for discounts on future purchases, Redemption of a loyalty point reduces the price of one dollar of future purchases by 20% (equal to 20 cents) Customers do not earn additional loyalty points for purchases on which loyalty points are redeemed. Based on past experience, Supply Club estimates a 60% probability that any point issued will be redeemed for the discount. During July 2021, the company redeemed 12,400 points and sold additional product of $155,000, so it recorded $167,400 of revenue. The aggregate stand-alone selling price of the purchased products is $167,400. Eighty percent of sales were cash sales, and the remainder were credit sales Required: 1. & 2. Prepare Supply Club's journal entry to record…
Presented here are selected transactions of Palmer Company. Palmer sells in large quantities to other companies and also sells its product in a small retail outlet. March 1 Sold merchandise on account to Grey Company for $6,000, terms 2/10, n/30. 3 Grey Company returned merchandise worth $600 to Palmer. 9 Palmer collected the amount due from Grey Company from the March 1 sale. 15 Palmer sold merchandise for $10,000 in its retail outlet. The customers used their Palmer credit cards. 31 Palmer added 1% monthly interest to the customers' credit card balance. April 10 Palmer collected $3,050 from credit card customers. Instructions Prepare journal entries for the selected transactions.