Question

RCSLIUI 1 View Policies ice and mual Current Attempt in Progress el cess Splish Co. uses the gross method to record sales made on credit. On June 1, 2020, it made sales of $43,000 with terms 2/15,6/45. On June 12, 2020, Splish received full payment for the June 1 sale. pport Prepare the required journal entries for Splish Co. (If no entry is required, select "No Entry for the account titles and enter for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit 40 8:34 AM 1/23/2020

how can I solve these two questions?

Answer 1

Credit $ Journal entries in Splish Co: Date Accounts Title & Explanation 01-Jun-20 Accounts Receivable To Sales Revenue (Entry for recording of sales revenue at gross value) Debit $ 43,000 43,000 42,140 860 12-Jun-20 Cash (43000-98%) Sales Discount (43000*2%) To Accounts Receivable (Entry for cash collected against sale made on June 1) 43,000 Debit $ Credit $ Journal entries in Culver Co:- Date Accounts Title & Explanation 01-Jun-20 Accounts Receivable (62900497%) To Sales Revenue (Entry for recording of sales revenue at net method) 61,013 61,013 61,013 12-Jun-20 Cash To Accounts Receivable (Entry for cash collected against sale made on June 1) 61,013