Question

Checl Littleton Books has the following transactions during May. May 2 Purchases books account from Readers Wholesale for $2,300, terms 2/10, n/30. May 3 Pays cash for freight costs of $100 on books purchased from Readers. May 5 Returns books with a cost of $300 to Readers because part of the order is incorrect. May 10 Pays the full amount due to Readers. May 30 Sells all books purchased on May 2 (less those returned on May 5) for $3,000 on account. 2. Assume that payment to Readers is made on May 24 instead of May 10. Record this payment. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet < 1 > Record the cash paid on account. Note: Enter debits before credits. Date General Journal Debit Credit May 24

Answer 1

Date	General Journal	Debit	Credit
May-02	Purchase	2300
	To Readers		2300
	(being the purchase booked)
May-03	Frieght	100
	To Cash		100
	(frieght expenses paid)
May-05	Readers	300
	To Purchase return		300
	(being the purchase return booked)
May-10	Readers	2000
	To Cash		2000
	(balance due to readers paid, (2300-300))
May-24	Cash	3000
	To Sale		3000
	(being the entry for sale)