Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1a) 1b) 2a) 2b) Question 1 Charlie Company and Brothers Supply Company both use a perpetual inventory system. During July, the following transactions and events

image text in transcribed

1a)

image text in transcribed

1b)

image text in transcribed

2a)

2b) image text in transcribed

image text in transcribed

Question 1 Charlie Company and Brothers Supply Company both use a perpetual inventory system. During July, the following transactions and events occurred. July 13 Charlie Company sold 8 drones at $745 each to Brothers Supply Company, terms 2/10, n/30. The drones had an inventory cost of $360 each. July 16 Brothers Supply Company paid $100 cash for freight related to their purchase of inventory. July 18 One drone did not meet product specifications and was returned to Charlie Company. July 22 Brothers Supply Company paid the amount due to Charlie Company. a) Journalize the transactions for Brothers Supply Company. Omit explanations. Use the general journal labeled "Question 1a Answers." b) Journalize the transactions for Charlie Company. Omit explanations. Use the general journal labeled "Question 1b Answers." Question 2 The following is Ryan Company's adjusted trial balance: RYAN COMPANY Adjusted Trial Balance December 31, 2021 Credit $ Debit 15,400 15,900 3,800 7,800 146,000 $ 60,000 19,100 70,000 57,600 9,000 Account Titles Cash Accounts Receivable Supplies Prepaid Insurance Equipment Accum. Depreciation - Equipment Accounts Payable Notes Payable Owner's Capital Owner's Drawings Sales Revenue Sales Returns and Allowances Sales Discounts Cost of Goods Sold Utilities Expense Rent Expense Supplies Expense Insurance Expense Depreciation Expense Salaries and Wages Expense Interest Revenue Totals 68,300 5,000 2,500 14,000 7,300 12,000 6,000 5,200 9,100 16,500 500 275,500 $ 275,500 $ a) Prepare sales revenues and gross profit sections of the income statement in good form. b) Ryan Company uses the Income Summary account to record closing entries. Prepare all closing entries for Ryan Company's books. Omit explanations. BROTHERS SUPPLY COMPANY GENERAL JOURNAL Description Debit Date Credit CHARLIE COMPANY GENERAL JOURNAL Description Date Debit Credit Date Description Debit Credit

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting

Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield

13th Edition

9780470374948, 470423684, 470374942, 978-0470423684

Students also viewed these Accounting questions

Question

k = k 0 e - E R T Linearize with respect to T

Answered: 1 week ago