Journalize the routine transactions on the journal-december

Assignment Help Accounting Basics
Reference no: EM132572634

ABC Company is a merchandising business. Below are the routing transactions for ABC Company for the month of December.

Dec 1 Paid rent for December, $7500.

Dec 3 Purchased merchandise from Goat Company for $8,000 under terms 1/15, n/30, FOB Shipping Point.

Dec 4 Paid $500 cash for freight charges on purchase of Dec 3.

Dec 5 Sold merchandise to Beaver company for $22,000 under credit terms 2/10, n/60, FOB Shipping Point. The merchandise had a cost of $9000.

Dec 6 Purchased merchandise from Duck Company for 28,000, under terms n/eom.

Dec 8 Received $22,400 on account from Warthog Company, no discount. This sale was made in November.

Dec 9 After negotiations with Goat Company concerning problems with the merchandise purchased on Dec 3, ABC Company received an credit memorandum from Goat Company granting an allowance of $3,000.

Dec 10 Paid part-time sales clerk for two weeks salary including the amount owed on December 1st, $3000.

Dec 11 Sold merchandise on account to Cow Company, terms 2/10, n/60, FOB destination, $20,000. The merchandise had a cost of $11,000.

Dec 12 Paid $750 cash for shipping charges related to the Dec 11 sale to Cow Company.

Dec 13 Paid the amount due to Goat Company for the Dec 3 purchase less the allowance granted.

Dec 15 Received balance due from Beaver Company for merchandise sold on Dec 5.

Dec 16 Cow company returned merchandise from the Dec 11 sale that had cost ABC Company $1500 and been sold for $6,000. The merchandise was restored to inventory.

Dec 21 Received amount due from Cow company for the Dec 11 sale less the sale return on Dec 16.

Dec 23 Paid advertising expense for ads running the last week of December, $1750.

Dec 24 Paid part-time sales clerk for two weeks' salary, $3000.

Dec 27 Purchased office supplies on account, $900.

Dec 31 Paid Duck Company amount due from the Dec 6 purchase.

At the end of December, the following adjustment data were assembled.

a.) After a physical count of inventory, it was determined that $127,200 of inventory exists at December 31.

b.) 1% of sales is expected to be refunded.

c.) Estimated Cost of Merchandise that will be returned in the next year is $7500

d.) Insurance Expired during the year, $2800.

e.) Office supplies on hand at Dec 31, $1250.

f.) Depreciation for December is $1100.

g.) Sales clerk earned $1500 of unpaid and unrecorded salary as of Dec 31.

Directions:

Question 1. Journalize the routine transactions above on the Journal-December tab.

Reference no: EM132572634

Questions Cloud

Bid-ask spread percentage for euro per pound sterling : Calculate the bid-ask spread percentage for euro per pound sterling.
Preparing of code of ethics for fictional company : Begin by preparing of Code of Ethics for a fictional company which should include at minimum ten elements.
What is the main reason for the design of erp systems : What is the main reason for the design of ERP systems? How are the end users involved during the prototyping approach to systems development?
Elements of disparate treatment and apply : List the elements of disparate treatment and apply them to this case. List the elements of the sexual harassment case and apply them to this case?
Journalize the routine transactions on the journal-december : Journalize the routine transactions above on the Journal-December tab. Dec 4 Paid $500 cash for freight charges on purchase of Dec 3.
Did your understanding of academic writing improve : The primary goal of this weekly assignment is to enable you to understand the revision process and revise your paper with the help of a writing specialist.
Consider employment experience : Consider an employment experience, describe to the best if your ability the values, norms, and artifacts of the organization
Provide the journal entries required for dec : Provide the journal entries required for Dec 15, 2019, and any entries required in 2020. Label the date of each entry, and be sure to clearly identify
Which machine should long memorial hospital choose : Using 8% discount rate on its investments, which machine should Long Memorial Hospital choose?

Reviews

Write a Review

Accounting Basics Questions & Answers

  What is the required investment

As a Financial analyst, you must evaluate a proposed project to produce printer cartridges. What is the required investment

  Calculate the balance in the Investment in AA Company

On January 1, 2021 M.T. Glass purchased the following investments: Calculate the balance in the Investment in AA Company account at December 31, 2021

  Analyze the economic impact of major social problems

Analyze the economic impact of major social problems and issues

  Chris like to save 30000 to send his son to college in 18

chris like to save 30000 to send his son to college in 18 years. if he uses an account that averages a 9 r about how

  Post the sales journal to the general ledger and accounts

T. M. Maxwell owns a retail business and made the following sales during the month of July 20--. There is a 5% sales tax on all sales. Record the transactions in the sales journal and verify the column totals and rule the columns. Post the sales jour..

  Define the accounting cycle

Define the accounting cycle. Define the matching principle and why it is critical in the preparation of the accrual-based financial statements

  Determine the net realizable value of accounts receivable

Assume that an account receivable in the amount of $400 was written off using the allowance method. Determine the net realizable value of the accounts receivable after the write-off.

  Record the adjusting entry for uncollectible accounts

Record the adjusting entry for uncollectible accounts using the percentage-of-credit-sales method. Suzuki estimates 3% of credit sales will not be collected

  Examine the effects of the sarbanes-oxley act on the cpa

examine the effects of the sarbanes-oxley act on the cpa profession including both positive and negative effects.

  Prepare all journal entries necessary to correct any errors

On July 1, 2010, Wasp purchased a small company and as a result acquired goodwill of $200,000.Wasp recorded a half-year's amortization in 2010, based on a 50-year life ($2,000 amortization). The goodwill has an indefinite life.

  What is the net cash provided by operating activities

Given - Net income $20,000 and Depreciation $ 3,000. What is the net cash provided by operating activities

  What types of external financing are available

Are there internal policy changes with regard to collections or payables management you would recommend? What types of external financing are available?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd