Question

Ups United Parcel Service, Inc. (UPS) says in its first footnote that: "it was founded in 1907 as a private messenger and delivery service in Seattle, Washington. Today, we are the world's largest package delivery company, a leader in the U.S. less-than-truckload industry and the premier provider of global supply chain management solutions. The global market for these services includes transportation, distribution, contract logistics, ground freight, ocean freight, air freight, customs brokerage, insurance and financing. We operate one of the largest airlines in the world, as well as the world's largest fleet of alternative-powered vehicles. We deliver packages each business day for 1.6 million shipping customers to 9.9 million delivery customers in over 220 countries and territories. In 2019, we delivered an average of 21.9 million pieces per day, or a total of 5.5 billion packages, Below you will see SOME (not all!) of UPS' transactions in their most recent fiscal year. Provide the journal entry or entries (accounts and amounts) needed to record each transaction a) Borrowed $5,205 million cash from a bank by signing a note payable. Account Title Debit Credit b) Had $74,094 million in credit sales to customers. Account Title Debit Credit c) Purchased $698 million worth of supplies (fuel) on account. Account Title Debit Credit d) Collected $68,438 million cash from customers related to prior credit sales. Account Title Debit Credit

Answer 1

Please refer to the following images for solution.

All amounts are in $'million.

Page 1

Solution forget Journal & million t'mellan Acueent lille pahit creclit (a) cash al A 5205 To Notes ale 5205 Payable Aucunt recevable ale li 44oqu To sales al Tuoqu (CO Supples all 698 Р To accounts payable al 698 (d) lash ale Д si 68438 to Acuaunts Recewable ale 68438 Duedends ak 3194 to coush ale 3194 Cash ale 20 218 To common shock ali so al Wages 38908 To canh ale 38908 w Equipment al . Дл 6380 to accounts payable ale 6380 Cio Interent cupene ali 2146 To Cash ali 2146 G 28600 Operating expenses to cash 28600

Page 2

(0 Calculaton on Heo UPS' Net income pagez Revenue from customers $' million leer 74094 698 (-) Supplies expense (A) Dividends 2194 38908 E) Wages cupense & Interest expense Operating expenses 2146 286co о Net income 548 Kale. Somehores, dividend is not charged under mome sebement bet deducted dinectly facom cerained earnings. On that tax, net income will he (548+ 3194 $3742 million cash T-Account $ million 10 & million 698 balance 4225 To Notes opening payable 5205 By supplies eupine by duidende 3194 10 Accounts recewable 68438 38908 To common stock 218 26 By wages expenne By interent expense By operating expense 28600 4540 By closeng balance 78086 78086 cash bularue $45 40 million 8. Ups's UPS's El Ending