Reference no: EM132695094
Gross method for sales discounts
The following were selected from among the transactions completed by Essex Company during March of the current year:
Mar.2.Sold merchandise on account to Parsley Co., $32,000, terms 1/10, n/30. The cost of the merchandise sold was $18,500.
8.Sold merchandise on account to Tabor Co., $24,000, terms 2/10, n/30. The cost of the merchandise sold was $14,400.
11.Received payment on account for the sale of March 2 less the discount.
20.Received payment on account for the sale of March 8.
Problem 1: Journalize the March transactions using the gross method of recording sales discounts
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