1. with the following data from the records of three merchandising companies:(a), (b) and (c). Determine each of the missing numbers for each company.

abc

purchaseBr.90, 000Br.40, 000Br.30, 500

Purchase discounts4000?650

Purchase returns and allowances3,0001,5001,100

Transportatiln-In?3,5004,000

Merchandise inventory (beginning of period)7,000?9,000

Total cost of merchandise purchases89,40039,500?

Merchandise inventory (end of period)4,4007,500?

Cost of goods sold?41,60034,130

2.Prepare journal entries to record the following merchandising transactions of Shiach Company. The company uses the periodic inventory system.

July 1Purchased merchandise form Gizhy Company for $6,000 under credit terms of1/15, n/30, FOB shipping point.

2Sold merchandise to Terra Co. for $800 under credit terms of 2/10, n/60, FOB shipping point.

3Paid $100 for freight (transportation) charges on the purchase of July 1.

8Sold merchandise for $1,600 cash.

9Purchased merchandise from Chilalo Co. for $2,300 under credit terms of 2/15, n/60, FOB destination.

12Received a $200 credit memorandum acknowledging the return of merchandise purchased on July 9.

12Received the balance due from Terra Co. for the credit sale dated July 2, net of the discount.

16Paid the balance due to Gizhy Company within the discount period.

19Sold merchandise to Urban Co. for $1,250 under credit terms of 2/15, n/60, FOB shipping point.

21Issued a $150 credit memorandum to Urban Co. for an allowance on goods sold on July 19.

22Received a debit memorandum from Urban Co. for an error that overstated the total sales invoice by $50.

24Paid Chilalo Co. the balance due after deducting the discount.

30Received the balance due from Urban Co. for the credit sale dated July 19, net of the discount.

31Sold merchandise to Terra Co. for $5,000 under credit terms of 2/10, n/60, FOB shipping point.

3.The following unadjusted trial balance was prepared at the end of the fiscal year for Tenkir Company:

 TENKIR COMPANY Unadjusted Trail Balance July 31, 2000 1 Cash $4,200 2 Merchandise inventory 11,800 3 Store supplies 4,800 4 Prepaid Insurance 2,300 5 Store Equipment 26,900 6 Accounts payable 9,000 7 Tenkir Capital 35,200 8 Tenkir Withdrawal 3,200 9 Sales 104,000 10 Sales Discount 1,000 11 Sales Ret and Allowance 2,000 12 Cost of goods sold 37,400 13 Income summary 14 Salaries expense 31,000 15 Insurance expense 16 Rent expense 14,000 17 Store supplies expense 18 Advertising expense 9,900 148,200 148,200 

Rent and salaries expense are equally divided between the selling and the general and administrative expenses. Tenkir Company uses the periodic inventory system.

Required:

1. create adjusting journal entries for the following:

a.Store supplies on hand at year-end amount to $1,650.

b.Expired insurance, an administrative expense, for the year is $1,500.

c.A physical count of the ending merchandise inventory shows $11,100 of goods on hand.

2. create a multiple-step income statement.

3. create a single-step income statement.

4. create all the necessary closing entries.

BR=BIRR