Reference no: EM133001525

Question - Prepare General Journal entries to record the following periodic system merchandising transactions for Safety Merchandising. Use a separate account for each receivable and payable:

October 1) Purchased merchandise from Zeon Company on credit, terms 2/10, n/30, $15,800.

October 2) Sold merchandise for cash, $2,100.

October 7) Purchased merchandise on credit from Billings Co., terms 2/10, n/30, $11,600, FOB the seller's factory.

October 7) Paid $450 cash for freight charges on the merchandise shipment of the previous transaction.

October 8) Purchased delivery equipment from Finlay Supplies on credit, $24,000. 12Sold merchandise on credit to Comry Holdings, terms 2/15, 1/30, n/60, $5,800.

October 13) Received a $1,500 credit memo for merchandise purchased on October 7 and returned for credit.

October 13) Purchased office supplies on credit from Staples, $620, n/30.

October 15) Sold merchandise on credit to Tom Willis, terms 2/10, 1/30, n/60, $4,650.

October 15) Paid for the merchandise purchased on October 7.

October 16) Received a credit memo for unsatisfactory office supplies purchased on October 13 and returned, $120.

October 19) Issued a $420 credit memo to the customer who purchased merchandise on October 15 and returned a portion for credit.

October 25) Received payment for the merchandise sold on October 15.

October 29) The customer of October 12 paid for the purchase of that date.

October 31) Paid for the merchandise purchased on October 1.