Question

Chart of Accounts-Sather Co. Chart of Accounts-Boone Co Co. Co. ● Sa i sa, me cha die la n one ca en ac o n ano term 2ns no the cost o te mere in ses s sia ooo. The merchandise was paid for on March 14 Assume al discounts are taken Jounalize the entries for Sathey Co and Boone Co. for the sale, purchase, and payment of amount due. Reler to the appropriate company's Chart of Accounts for exact wording of account fitles

Answer 1

Journal entry : Sather CO.

Date	account and explanation	debit	credit
Mar 1	Account receivable	33800
	Sales revenue		33800
	(To record sales)
	Cost of goods sold	18000
	Inventory		18000
	(To record cost of goods sold)
Mar 14	Cash (33000*98%)	32340
	Sales discount	660
	Account receivable		33000
	(To record amount received)

Journal entry Boone Co

Date	account and explanation	debit	credit
Mar 1	Inventory	33000
	Account payable		33000
	(TO record purchase)
Mar 14	Account payable	33000
	Cash		32340
	Inventory		660
	(To record amount paid)