Question

On March 2, Skysong, Inc. sold $929,000 of merchandise on account to Riverbed Company, terms 4/10, n/30. The cost of the merchandise sold was $558,000. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit (To record credit sale) To record cost of merchandise sold) On March 6, Riverbed Company returned $92,900 of the merchandise purchased on March 2. The cost of the returned merchandise was $55,800 (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit To record merchandise returned) To record cost of merchandise returned) On March 12, Skysong, Inc. received the balance due from Riverbed Company. (Credit account titles are automatically indented when amount is entered Do not indent manually. If no entry is required, select"No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit

Answer 1

	Debit	Credit
Accounts Receivable	929000
Sales		929000
(To record credit sale)
Cost of goods sold	558000
Merchandise inventory		558000
(To record cost of merchandise sold)
Sales return and allowances	92900
Accounts Receivable		92900
(To record merchandise returned)
Merchandise inventory	55800
Cost of goods sold		55800
(To record cost of merchandise returned)
Cash	802656
Sales discount	33444		=836100*4%
Accounts Receivable		836100