Solution-Prepare journal entries to record transactions and

Prepare journal entries to record transactions and events

Assignment Help Accounting Basics

Reference no: EM133014254

Question - Serene Spa Sales uses the perpetual inventory system and the gross method of accounting for purchases and sales, and had the following transactions during August.

Printed out by academic affairs office Page: 4 of 5

Aug 1 Sold merchandise on credit for $5,000, terms 3/10, n/30. The items sold had a cost of $3,500.

Aug 3 Purchased merchandise for cash, $2,720.

Aug 4 Purchased merchandise on credit for $2,600, terms 1/20, n/30.

Aug 5 Issued a credit memorandum for $3,000 to a customer who returned merchandise purchased July 20. The returned items had a cost of $2,010.

Aug 10 Received payment for merchandise sold August 1.

Aug 15 Received a credit memorandum from the seller for the return of defective merchandise purchased on August 4 for $600.

Aug 18 Paid freight charges of $200 for merchandise ordered last month. (FOB shipping point).

Aug 23 Paid for the merchandise purchased August 4 less the portion that was returned.

Aug 24 Sold merchandise on credit for $7,000, terms 2/10, n/30. The items had a cost of $4,900.

Aug 31 Received payment for merchandise sold on August 24.

Required - Prepare journal entries to record these transactions and events?

Reference no: EM133014254

Questions Cloud

How much is the depreciation for the year : Residual value was estimated at $8,000. The machine is being depreciated over eight years. How much is the depreciation for the year

Calculate the estimated share price in six years : Zayn Inc. has a beta of 0.9. The risk-free return is equal to 2% and the market risk premium is equal to 6%. Calculate the estimated share price in six years

Prepare a schedule of cost of goods manufactured : Other costs incurred: Purchases of raw materials (both direct and indirect) $411,000. Prepare a schedule of cost of goods manufactured

What the adjusted cost of goods sold : The manufacturing overhead cost applied to Work in Process was Rs. 70,000. What the adjusted cost of goods sold

Prepare journal entries to record transactions and events : Aug 1 Sold merchandise on credit for $5,000, terms 3/10, n/30. The items sold had a cost of $3,500. Prepare journal entries to record transactions and events

Prepare a statement of owner equity : Sunland Engineering Services is owned by François Sunland. Prepare a statement of owner equity

Reflection about how your work as a agile team : Reflection about how your work as a Agile Team is progressing so far. You are required to use Kolb's Experiential Learning Cycle as a framework

Costs associated with online business initiatives : What three factors do you consider most important when considering outsourcing a particular service within an organization?

Roles and responsibilities in the risk management process : Develop a 2-3 page, APA formatted final paper on the roles and responsibilities in the risk management process and explain how continuous monitoring needs

User Account

All Pages

Prepare journal entries to record transactions and events

Reference no: EM133014254

Reference no: EM133014254

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT