Reference no: EM13913899
Journalize the transactions using a perpetual inventory system.
Waters Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, Waters ledger showed Cash of $11,517 and Common Stock of $11,517.
May 1 Purchased merchandise on account from Hauke Wholesale Supply for $8,300, terms 1/10, n/30.
2 Sold merchandise on account for $6,100, terms 2/10, n/30. The cost of the merchandise sold was $4,575.
5 Received credit from Hauke Wholesale Supply for merchandise returned $600.
9 Received collections in full, less discounts, from customers billed on May 2.
10 Paid Hauke Wholesale Supply in full, less discount.
11 Purchased supplies for cash $1,296.
12 Purchased merchandise for cash $4,463.
15 Received $331 refund for return of poor-quality merchandise from supplier on cash purchase.
17 Purchased merchandise from Friedrich Distributors for $4,300, terms 2/10, n/30.
19 Paid freight on May 17 purchase $360.
24 Sold merchandise for cash $7,918. The cost of the merchandise sold was $5,902.
25 Purchased merchandise from Fasteners Inc. for $1,152, terms 3/10, n/30.
27 Paid Friedrich Distributors in full, less discount.
29 Made refunds to cash customers for returned merchandise $138. The returned merchandise had cost $104.
31 Sold merchandise on account for $1,843, terms n/30. The cost of the merchandise sold was $1,195.