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1. Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method Apr.
1. Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method Apr. 2 Purchased $5,506 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. Apr 3 Paid $359 cash for shipping charges on the April 2 purchase. Returned to Lyon Company unacceptable merchandise that had an invoice price of S716. Apr 4 Apr 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise
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