Question

Apr.		2		Purchased $3,900 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point.
		3		Paid $220 cash for shipping charges on the April 2 purchase.
		4		Returned to Lyon Company unacceptable merchandise that had an invoice price of $450.
		17		Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise.
		18		Purchased $7,100 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination.
		21		After negotiations, received from Frist a $400 allowance toward the $7,100 owed on the April 18 purchase.
		28		Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount.

2 3 4 5 6 7 Purchased $3,900 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. Note: Enter debits before credits. Date General Journal Debit Credit Apr 02

Answer 1

Answer
Journal entry
Date	General Journal	Debit	Credit
Apr-02	Merchandise inventory	$       3,900
	Account payable		$       3,900
Apr-03	Merchandise inventory	$          220
	Cash		$          220
Apr-04	Account payable	$          450
	Merchandise inventory		$          450
Apr-17	Account payable (3900-450)	$       3,450
	Cash (3450*98%)		$       3,381
	Merchandise inventory		$            69
Apr-18	Merchandise inventory	$       7,100
	Account payable		$       7,100
Apr-21	Account payable	$          400
	Merchandise inventory		$          400
Apr-28	Account payable	$       6,700
	Cash (6700*99%)		$       6,633
	Merchandise inventory		$            67