Question

Cambridge Technologies Inc. began 2017 with inventory of $19.000. During the year. Cambridge purchased Inventory costing $115.000 and old goods for $155.000, wth $32,000 tractions on cout Cambridge anded the y Journalize all the necessary transactions under the periodic inventory system e a r of Requirement 1. Journalize all the necessary transactions under the periodic inventory system (Record debits first, then credits. Explanations are not required) First, journalize the inventory purchase. Journal Entry Debit Credit Jour sales ansaction Journal Entry Accounts Joumare the end of periodontis mawo nter any number in the input fields and then continue to the next question

Answer 1

Credit Journal Entry: Accounts Debit a) Purchases $115.000 Accounts Payable (To record the inventory purchase) $115,000 b) Accounts receivable $155,000 Sales revenue (To record the sales transaction) $155.000 c) Cost of goods sold $19.000 Inventory $19.000 (To record the closing out beginning inventory) d) Inventory $32.000 Cost of goods sold (To record the adjust ending inventory) $32.000 e) Cost of goods sold $115,000 Purchases $115.000 (To record the close out purchase for the period)