Reference no: EM132602401

Question 1: Prepare General Journal entries to record the following perpetual system merchandising transactions of Home Accents. Use a separate account for each receivable and payable.

Aug 9 Sold merchandise to Zilli Interiors for $26,000 under credit terms 2/10, n/30, FOB destination. The merchandise had cost $15,250.

13 Paid $450 shipping charges related to the August 9 sale to Zilli Interiors.

14 Zilli Interiors returned merchandise from the August 9 sale that had cost $2,400 and been sold for $4,200. The merchandise was restored to inventory.

19 Received the balance due from Zilli Interiors for the August 9 sale.

Question 2: Prepare General Journal entries to record the following perpetual system merchandising transactions of The Jewelry Depot. Use a separate account for each receivable and payable.

Mar 10 Purchased merchandise from Winston Corp. for $31,750 under credit terms of 1/15, n/30, FOB shipping point.

11 Paid $415 for freight charges on the March 10 purchase.

14 Received a $3,250 credit memorandum from Winston Corp. acknowledging the return of merchandise purchased on March 10.

25 Paid Winston Corp. the amount due for the March 10 purchase.