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(15 Points) Eleanor's Sports Shop (buyer) accepts $40,000 worth of fishing tackle from Maria's Wholesale Tackle (Seller). The invoice reads 3/10,n/90, FOB Shipping Point. The
(15 Points) Eleanor's Sports Shop (buyer) accepts $40,000 worth of fishing tackle from Maria's Wholesale Tackle (Seller). The invoice reads 3/10,n/90, FOB Shipping Point. The goods cost Maria's Wholesale Tackle $30,000. Both Eleanor and Maria use the perpetual inventory system and the gross method. Eleanor pays Fed Ex $345 cash to deliver the fishing tackle. Eleanor retums $1,400 of the $40,000 of fishing tackle to Maria's. The returned goods had cost Maria $1,050. The goods were returned within the discount period. Prepare Journal Entries for Eleanor's for these transactions. Prepare as if Eleanor paid within the discount period and as if Eleanor did not pay within the discount period. Prepare Joumal Entries for Maria's for these transactions. Prepare as if Eleanor paid within the discount period and as if Eleanor did not pay within the discount period
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