Question

July 5 Purchases 48 LCD televisions on account from Red River Supplies for $2,900 each, terms 3/10, n/30. July 8 Returns to Red River three televisions that had defective sound. July 13 Pays the full amount due to Red River July 28 Sells remaining 45 televisions from July 5 for $3,400 each on account. Required: Record the transactions of Sundance Systems, assuming the company uses a perpetual inventory system. (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 Purchases 48 LCD televisions on account from Red River Supplies for $2,900 each, terms 3/10, n/30. Note: Enter debits before credits. Date General Journal Debit Credit July 05 Inventory Accounts payable Record entry Clear entry View general journal

Answer 1

Date	General Journal		Debit ($)	Credit ($)
July 5	Inventory (48*2900)		139,200
		Accounts payable		139,200
	(Inventory purchased)
July 8	Accounts payable		8,700
		Inventory (3*2900)		8,700
	(Inventory returned)
July 13	Accounts payable (139,200-8,700)		130,500
		Inventory (130,500*3%)		3,915
		Cash		126,585
	(Paid the amount due)
July 28	Accounts payable (45*3400)		153,000
		Sales revenue		153,000
	(Inventory sold)
July 28	Cost of goods sold		126,585
		Inventory		126,585
	(Inventory reduced)