Question

Global Ltd. had beginning inventory of 50 units that cost $100 each. During September, the company purchased 200 units on account at $100 each, returned 6 units for credit, and sold 150 units at $200 each (e) Your answer is correct. Journalize the September transactions, assuming that Global Ltd. uses a perpetual inventory system. (Credit acCount titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit Inventory 20,000 T20,000 TAccounts Payable (To record purchase of units) TAccounts Payable T600 inventory 600 (To record return of defective units) TACCOUNTS Receivable T30,000 30,000 Sales Revenue (To record sales on account) 5,000 TCost of Goods Sold Tinventory U15,000) (To record cost of goods sold) Attempts: 2 of 5 used *(b) Your answer is correct Journalize the September transactions, assuming that Global Ltd. uses a periodic inventory system. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Account Titles and Explanation Debit Credit Purchases T20,000 TAccounts Payable T20,000) (To record purchase of units) TAccounts Payable 1600 Purchase Returns and Allowances 600 (To record return of defective units) TACCOUNTS Receivable T30,000 30,000 Sales Revenue (To record sales on account)

Answer 1

Required entry :-

COGS ( balancing figure )	15000
Purchase returns and allowances	600
Inventory ( 94 * 100 )	9400
Purchases		20000
Inventory ( beginning ) ( 50 * 100 )		5000