Need help preparing journal entries.
2 | Sold merchandise to Creek Co. for $950 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. The merchandise had cost $550. | |||
3 | Paid $140 cash for freight charges on the purchase of July 1. | |||
8 | Sold merchandise that had cost $1,900 for $2,300 cash. | |||
9 | Purchased merchandise from Leight Co. for $2,400 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9. | |||
11 | Returned $400 of merchandise purchased on July 9 from Leight Co. and debited its account payable for that amount. | |||
12 | Received the balance due from Creek Co. for the invoice dated July 2, net of the discount. | |||
16 | Paid the balance due to Boden Company within the discount period. | |||
19 | Sold merchandise that cost $1,000 to Art Co. for $1,500 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19. | |||
21 | Gave a price reduction (allowance) of $250 to Art Co. for merchandise sold on July 19 and credited Art's accounts receivable for that amount. | |||
24 | Paid Leight Co. the balance due, net of discount. | |||
30 | Received the balance due from Art Co. for the invoice dated July 19, net of discount. | |||
31 | Sold merchandise that cost $5,400 to Creek Co. for $7,500 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31. |
Prepare journal entries to record the following merchandising
transactions of Lowe’s, which uses the perpetual inventory system
and the gross method. Hint: It will help to identify each
receivable and payable; for example, record the purchase on August
1 in Accounts Payable—Aron.
Aug. | 1 | Purchased merchandise from Aron Company for $10,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. | ||
5 | Sold merchandise to Baird Corp. for $7,000 under credit terms of 2/10, n/60, FOB destination, invoice dated August 5. The merchandise had cost $5,000. | |||
8 | Purchased merchandise from Waters Corporation for $9,000 under credit terms of 1/10, n/45, FOB shipping point, invoice dated August 8. | |||
9 | Paid $120 cash for shipping charges related to the August 5 sale to Baird Corp. | |||
10 | Baird returned merchandise from the August 5 sale that had cost Lowe’s $500 and was sold for $1,000. The merchandise was restored to inventory. | |||
12 | After negotiations with Waters Corporation concerning problems with the purchases on August 8, Lowe’s received a price reduction from Waters of $900 off the $9,000 of goods purchased. Lowe's debited accounts payable for $900. | |||
14 | At Aron’s request, Lowe’s paid $190 cash for freight charges on the August 1 purchase, reducing the amount owed (accounts payable) to Aron. | |||
15 | Received balance due from Baird Corp. for the August 5 sale less the return on August 10. | |||
18 | Paid the amount due Waters Corporation for the August 8 purchase less the price allowance from August 12. | |||
19 | Sold merchandise to Tux Co. for $6,000 under credit terms of n/10, FOB shipping point, invoice dated August 19. The merchandise had cost $3,000. | |||
22 | Tux requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Lowe’s gave a price reduction (allowance) of $1,000 to Tux, and credited Tux's accounts receivable for that amount. | |||
29 | Received Tux’s cash payment for the amount due from the August 19 sale less the price allowance from August 22. | |||
30 | Paid Aron Company the amount due from the August 1 purchase. |
Journal Entry | |||
Date | Particulars | Debit | Credit |
Jul-02 | Accounts Receivable - Creek & Co | $950 | |
Sales | $950 | ||
(To record the sales) | |||
Cost of Goods Sold | $550 | ||
Merchandise Inventory | $550 | ||
(To record the Cost of Goods Sold) | |||
Jul-03 | Freight In | $140 | |
Cash | $140 | ||
(To record Fright Expenses) | |||
Jul-08 | Cash | $2,300 | |
Sales | $2,300 | ||
(To record the sales) | |||
Cost of Goods Sold | $1,900 | ||
Merchandise Inventory | $1,900 | ||
(To record the Cost of Goods Sold) | |||
Jul-09 | Merchandise Inventory | $2,400 | |
Accounts Payable - Leight Co. | $2,400 | ||
(To record the inventory purchase ) | |||
Jul-11 | Accounts Payable - Leight Co. | $400 | |
Merchandise Inventory | $400 | ||
(To record purchase return) | |||
Jul-12 | Cash ($950 * 98%) | $931 | |
Sales Discount ($950 * 2%) | $19 | ||
Accounts Receivable - Creek & Co | $950 | ||
Jul-16 | Details Not Available about boden compnay | ||
Jul-19 | Accounts Receivable - Art & Co | $1,500 | |
Sales | $1,500 | ||
(To record the sales) | |||
Cost of Goods Sold | $1,000 | ||
Merchandise Inventory | $1,000 | ||
(To record the Cost of Goods Sold) | |||
Jul-21 | Discount and Allowance | $250 | |
Accounts Receivable - Art & Co | $250 | ||
Jul-24 | Accounts Payable - Leight Co. | $2,000 | |
Discount ($2,000 * 2%) | $40 | ||
Cash ($2,000 * 98%) | $1,960 | ||
Jul-30 | Cash ($1,250 * 98%) | $1,225 | |
Discount ($1,250 * 2%) | $25 | ||
Accounts Receivable - Art & Co | $1,250 | ||
Jul-31 | Accounts Receivable - Creek & Co | $7,500 | |
Sales | $7,500 | ||
(To record the sales) | |||
Cost of Goods Sold | $5,400 | ||
Merchandise Inventory | $5,400 | ||
(To record the Cost of Goods Sold) | |||
Journal Entry | |||
Date | Particulars | Debit | Credit |
Aug-01 | Merchandise Inventory | $10,000 | |
Accounts Payable-Aron Company | $10,000 | ||
Aug-05 | Accounts Receivable - Baird Corp. | $7,000 | |
Sales | $7,000 | ||
(To record the sales) | |||
Cost of Goods Sold | $5,000 | ||
Merchandise Inventory | $5,000 | ||
(To record the Cost of Goods Sold) | |||
Aug-08 | Merchandise Inventory | $9,000 | |
Accounts Payable-Water Corporation | $9,000 | ||
(To record the inventory purchase ) | |||
Aug-09 | Merchandise Inventory | $120 | |
Cash | $120 | ||
(To record Freight Expenses) | |||
Aug-10 | Sales Return | $1,000 | |
Accounts Receivable - Baird Corp. | $1,000 | ||
(To record the sales return) | |||
Merchandise Inventory | $500 | ||
Cost of Goods Sold | $500 | ||
(To record the return in Cost of goods sold) | |||
Aug-12 | Accounts Payable-Water Corporation | $900 | |
Discount & Allowance | $900 | ||
(To record discount) | |||
Aug-14 | Accounts Payable-Aron Company | $190 | |
Freight in | $190 | ||
(To record freight expenses on behalf of Aron Company) | |||
Aug-15 | Cash ($6,000 * 98%) | $5,880 | |
Discount ($6,000 * 2%) | $120 | ||
Accounts Receivable - Baird Corp. | $6,000 | ||
Aug-18 | Accounts Payable-Water Corporation | $8,100 | |
Discount & Allowance ($8,100 * 1%) | $81 | ||
Cash ($8,100 * 99%) | $8,019 | ||
Aug-19 | Accounts Receivable - Tux Co. | $6,000 | |
Sales | $6,000 | ||
(To record the sales) | |||
Cost of Goods Sold | $3,000 | ||
Merchandise Inventory | $3,000 | ||
(To record the Cost of Goods Sold) | |||
Aug-22 | Discount & Allowance | $1,000 | |
Accounts Receivable - Tux Co. | $1,000 | ||
Aug-29 | Cash | $5,000 | |
Accounts Receivable - Tux Co. | $5,000 | ||
Aug-30 | Accounts Payable-Aron Company | ||
Cash ($10,000 - $190) | $9,810 | ||
(To record payment after adjustment for Freight Expense) | |||
Need help preparing journal entries. 2 Sold merchandise to Creek Co. for $950 under credit terms...
Problem 4-2A Preparing journal entries for merchandising activities-perpetual system LO P1, P2 Prepare journal entries to record the following merchandising transactions of Lowe’s, which uses the perpetual inventory system and the gross method. (Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable—Aron.) Aug. 1 Purchased merchandise from Aron Company for $6,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to...
Problem 4-2A Preparing journal entries for merchandising activities-perpetual system LO P1, P2 Prepare journal entries to record the following merchandising transactions of Lowe’s, which uses the perpetual inventory system and the gross method. (Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable—Aron.) Aug. 1 Purchased merchandise from Aron Company for $10,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird...
Problem 4-2A Preparing journal entries for merchandising activities-perpetual system LO P1, P2 Prepare journal entries to record the following merchandising transactions of Lowe’s, which uses the perpetual inventory system and the gross method. (Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable—Aron.) Aug. 1 Purchased merchandise from Aron Company for $8,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to...
Prepare journal entries to record the following merchandising transactions of Lowe’s, which uses the perpetual inventory system and the gross method. (Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable—Aron.) Aug. 1 Purchased merchandise from Aron Company for $9,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird Corp. for $6,300 under credit terms of 2/10, n/60, FOB destination,...
Prepare journal entries to record the following merchandising transactions of Lowe’s, which uses the perpetual inventory system and the gross method. Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable—Aron. Aug. 1 Purchased merchandise from Aron Company for $9,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird Corp. for $6,300 under credit terms of 2/10, n/60, FOB destination, invoice...
Prepare journal entries to record the following merchandising transactions of Lowe’s, which uses the perpetual inventory system and the gross method. Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable—Aron. Aug. 1 Purchased merchandise from Aron Company for $7,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird Corp. for $4,900 under credit terms of 2/10, n/60, FOB destination, invoice...
Prepare journal entries to record the following merchandising transactions of Lowe’s, which uses the perpetual inventory system and the gross method. Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable—Aron. Aug. 1 Purchased merchandise from Aron Company for $9,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird Corp. for $6,300 under credit terms of 2/10, n/60, FOB destination, invoice...
I need help preparing a journal entry for the merchandise transactions if Lowe's. Uses the perpetual inventory system and gross method. Prepare journal entries to record the following merchandising transactions of Lowe's, which u gross method. (Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 Payable-Aron.) in Accounts Aug. 1 Purchased merchandise from Aron Company for $6,888 under c redit terns of 1/18, n/se, FOB destination, invoice dated August 5 Sold...
Problem 4-2A Preparing journal entries for merchandising activities-perpetual system LO P1, P2 Prepare journal entries to record the following merchandising transactions of Lowe's, which uses the perpetual inventory system and the gross method. (Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable-Aron.) Aug. 1 Purchased merchandise from Aron Company for $5,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird...
D Prepare journal entries to record the following merchandising transactions of Lowe's, which uses the perpetual inventory system and the gross method. Hint: It will help to identify each receivable and payable; for example, record the purchase on August 1 in Accounts Payable-Aron. Aug. 1 Purchased merchandise from Aron Company for $7,500 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird Corp. for $5,200 under credit terms of 2/10, n/60, FOB destination,...