Question

Please Show All Your Calculations for Your Response: More Info Jul 4 Wholesale Furnishings purchased $8,000 of merchandise from M and P Furniture Warehouse on account Terms, 1/15, n/30, FOB shipping point. The goods cost M and P Furniture Warehouse $3,100. 7 Wholesale Furnishings paid a $100 freight bill for delivery of the goods purchased on July 4. 10 Wholesale Furnishings retumed $1,100 of the merchandise purchased on July 4. The goods cost M and P Furniture Warehouse $400. 18 Wholesale Furnishings paid $1,800 of the July 4 invoice less the discount. 31 Wholesale Furnishings paid the remaining amount owed on the July 4 invoice Print Print Done Done Requirement 2. Journalize these transactions on the books of M and P Furniture Warehouse, assuming the "net" method is used. (Record debits first, then credits. Exclude explanations from any journal entries.) Jul 4: Wholesale Fumishings purchased $8,000 of merchandise from M and P Furniture Warehouse on account. Terms, 1/15, n/30. FOB shipping point. The goods cost M and P Fumiture Warehouse $3,100 Begin by journalizing the revenue from the sale of merchandise. (Do not yet record the cost related to the sale. We will do this in the next journal entry.) Date Debit Credit Journal Entry Accounts 4 Accounts receivable Sales revenue Jul

Answer 1

Date	Particulars	Debit amount	Credit amount
July 4	Accounts receivable A/C----Dr	8100
	To Sales A/C		8100
	(Being merchandise sold on account)
July 4	Cost of goods sold A/C----Dr	3100
	To purchase A/C		3100
	(Being goods sold)
July 10	Sales A/C----Dr	1100
	To Accounts receivable A/C		1100
	(Being goods returned by customer)
July 10	Purchase A/C------Dr	400
	To Cost of goods sold A/C		400
	(Being goods returned by customer)
July 18	Cash A/C------Dr	1800
	To Accounts receivable A/C		1800
	(Being cash received from accounts receivable)
July 31	Cash A/C------Dr	5200
	To Accounts receivable A/C		5200
	(Being cash received from accounts receivable)

Note-Any expenses which are directly related to the purchase/sale of goods or asset will be included in the value of goods/asset.In this case,frieght expense will be included in the value of merchandise.