Question

The following summarizes Tesla's merchandising activities for the year. Cost of merchandise sold to customers Merchandise inventory, beginning year Cost of merchandise purchases, gross amount Shrinkage on merchandise as of year-end Cost of transportation-in for merchandise purchases Cost of merchandise returned by customers and restored to inventory Discounts received from suppliers on merchandise purchases Returns to and allowances from suppliers on merchandise purchases $ 196,000 25,000 192,500 800 2,900 2,100 1,700 4,000 Enter the summarized activities in the two T-accounts below.

Answer 1

Beginning Balance Cost of Merchandise Purchases Return by Customers Transportation In Ending Balance Merchandise Inventory $ 25,000 Cost of Merchandise sold to customers $ 192,500 Returns to allowances from suppliers on merchandise purchases $ 2,100 Discount received from suppliers on merchandise purchases $ 2,900 Shrinkage $ 20,000 $ 196,000 $ 4,000 $ 1,700 $ 800 $ 2,100 Cost of Merchandise sold to customers Shrinkage Ending Balance Cost of goods sold $196,000 Return by Customers $ 800 $ 194,700 Note : Do comment for any further assistance