Question

Please use excel to journalize each of the following transactions and submit your work into the dropbox. All journal entries are assumed to be on the period system. 1) PLU company purchased $10,000 worth of fruit on credit. PLU is a grocery store. 2) PLU sold $2,500 worth of fruit to its customers on October 3, 20xx. 3) PLU sold $7,000 worth of inventory to its customers on October 7, 20XX. 4) PLU purchases $20,000 worth additional fruit from its supplier using cash on October 15, 20XX. 5) What is the ending balance in PLU's inventory account?

Answer 1

Sr No.	Date	Account Name	Debit($)	Credit($)
1		Purchases A/c……..Dr	10,000
		To Creditor A/c		10,000
		(Being purchased fruits on credit)
2	3/10/20XX	Cash A/c………Dr	2,500
		To Sales A/c		2,500
		(Being sold fruit to its customers)
3	7/10/20XX	Cash A/c………Dr	7,000
		To Sales A/c		7,000
		(Being sold inventory to its customers)
4	15/10/20XX	Purchases A/c……..Dr	20,000
		To Cash A/c		20,000
		(Being purchased fruits on cash)

The ending inventory in PLUs inventory account will be $20,500 (10,000-2,500-7,000+20,000)