Reference no: EM132636473
Question - Mostafa, a former disc golf star, operates Mostafa's Discorama. At the beginning of the current season on April 1, the ledger of Mostafa's Discorama showed Cash $1,800, Inventory $2,500, and Owner's Capital $4,300.
The following transactions were completed during April.
April 5 Purchased golf discs, bags, and other inventory on account from Innova Co. $1,200, FOB shipping point, terms 2/10, n/60.
April 7 Paid freight on the Innova purchase $50.
April 9 Received credit from Innova Co. for merchandise returned $100.
April 10 Sold merchandise on account for $900, terms n/30. The merchandise sold had a cost of $540.
April 12 Purchased disc golf shirts and other accessories on account from Lightning Sportswear $670, terms 1/10, n/30.
April 14 Paid Innova Co. in full, less discount.
April 17 Received credit from Lightning Sportswear for merchandise returned $70.
April 20 Made sales on account for $610, terms n/30. The cost of the merchandise sold was $370.
April 21 Paid Lightning Sportswear in full, less discount.
April 27 Granted an allowance to members for clothing that was flawed $20.
April 30 Received payments on account from customers $900.
Instructions - Journalize the April transactions using periodic inventory system.