2. Prepare an income statement for Unique Shoes Store for the month of Aug 2019. improvements, choose Check for Updates. 1. You are the Accountant for Unique Shoes Store whose business is booming due to back to school sale. The transactiohs below are from Aug 2019. The sales are coming from the Internet along with the store located in Chicago, IL. The owner of the store uses perpetual inventory system. Prepare the journal entries for each transaction's, be detailed as possible and show the work. Use T-accounts to help you with this process, if applicable. Aug 1 - Purchased 3,000 pairs of Adidas at a cost of $55, paid 35% in cash and rest on account. Aug 1 - Purchase 5,000 pairs at a cost of $60 per pair from NIKE on account, paid 15% in cash and rest is on account Aug 1 - Purchased 6,000 pairs of Reebok at a cost of $50 per pair on account. Aug 1 - Purchased 10,000 pairs of MISC at a cost of $30 per pair, paid 55% cash and rest is account. Aug 1 - Paid salaries expense to employees of $50,000 Aug 1 - Paid rent of $10,000 Aug 3 - Received checks of $5k from NIKE, $7K from ADIDAS and $3K from Reebok for promoting their products online. Aug 3 - Sold 200 pairs of NIKE to customers and recorded $14,000 of sales in cash. Aug 4 - Sold 100 pairs of Adidas to customers and recorded $8,000 of sales in cash. Aug 4 - Sold 300 pairs of Reebok to customers and recorded $18,000 of sales in cash. Aug 4 - Sold 1,000 pairs of Misc to customers and recorded $45,000 of sales in cash. Aug 4 - From the cash received on Aug 3, pay the following vendors to bring down the liability. Pay Nike 25%, ADIDAS 30%, REEBOK 10% and MISC 15%. Aug 10 - Purchased additional 1,000 pairs of NIKE shoes at a cost of $60 per pair, all on account. Aug 15 - Paid salaries expense to employees of $50,000. Aug 15 - Paid utilities of $5000 - Breakdown is Water 15%, Gas 35% Electricity 50% I Pay Nike 25%, ADIDAS 30%, REEBOK 10% and MISC 15%. Aug 10 - Purchased additional 1,000 pairs of NIKE shoes at a cost of $60 per pair, all on acco Aug 15 - Paid salaries expense to employees of $50,000. Aug 15 - Paid utilities of $5000 - Breakdown is Water 15%, Gas 35% Electricity 50%. Aug 15 - Sold 1,000 pairs of Adidas to customers and recorded $80,000 of sales in cash. Aug 17 - Sold 2,900 pairs of Nikes to customers and recorded $203,000 of sales in cash. Aug 19 - Sold 5,000 pairs of Reeboks to customers and recorded $300,000 of sales in cash. Aug 21 - Sold 5,000 pairs of Misc to customers and recorded $225,000 of sales in cash. Aug 28 - The owner of the company advises you that during the entire month of Aug a total of 175 shoes have been returned for a full refund and must be returned back to the vendor for credit. Below is the breakdown: Nike - 50 pairs of shoes Adidas - 25 pairs of shoes Reebok - 25 pairs of shoes Misc - 75 pairs of shoes 2. Prepare an income statement for Unique Shoes Store for the month of Aug 2019. improvements, choose Check for Updates. 1. You are the Accountant for Unique Shoes Store whose business is booming due to back to school sale. The transactiohs below are from Aug 2019. The sales are coming from the Internet along with the store located in Chicago, IL. The owner of the store uses perpetual inventory system. Prepare the journal entries for each transaction's, be detailed as possible and show the work. Use T-accounts to help you with this process, if applicable. Aug 1 - Purchased 3,000 pairs of Adidas at a cost of $55, paid 35% in cash and rest on account. Aug 1 - Purchase 5,000 pairs at a cost of $60 per pair from NIKE on account, paid 15% in cash and rest is on account Aug 1 - Purchased 6,000 pairs of Reebok at a cost of $50 per pair on account. Aug 1 - Purchased 10,000 pairs of MISC at a cost of $30 per pair, paid 55% cash and rest is account. Aug 1 - Paid salaries expense to employees of $50,000 Aug 1 - Paid rent of $10,000 Aug 3 - Received checks of $5k from NIKE, $7K from ADIDAS and $3K from Reebok for promoting their products online. Aug 3 - Sold 200 pairs of NIKE to customers and recorded $14,000 of sales in cash. Aug 4 - Sold 100 pairs of Adidas to customers and recorded $8,000 of sales in cash. Aug 4 - Sold 300 pairs of Reebok to customers and recorded $18,000 of sales in cash. Aug 4 - Sold 1,000 pairs of Misc to customers and recorded $45,000 of sales in cash. Aug 4 - From the cash received on Aug 3, pay the following vendors to bring down the liability. Pay Nike 25%, ADIDAS 30%, REEBOK 10% and MISC 15%. Aug 10 - Purchased additional 1,000 pairs of NIKE shoes at a cost of $60 per pair, all on account. Aug 15 - Paid salaries expense to employees of $50,000. Aug 15 - Paid utilities of $5000 - Breakdown is Water 15%, Gas 35% Electricity 50% I Pay Nike 25%, ADIDAS 30%, REEBOK 10% and MISC 15%. Aug 10 - Purchased additional 1,000 pairs of NIKE shoes at a cost of $60 per pair, all on acco Aug 15 - Paid salaries expense to employees of $50,000. Aug 15 - Paid utilities of $5000 - Breakdown is Water 15%, Gas 35% Electricity 50%. Aug 15 - Sold 1,000 pairs of Adidas to customers and recorded $80,000 of sales in cash. Aug 17 - Sold 2,900 pairs of Nikes to customers and recorded $203,000 of sales in cash. Aug 19 - Sold 5,000 pairs of Reeboks to customers and recorded $300,000 of sales in cash. Aug 21 - Sold 5,000 pairs of Misc to customers and recorded $225,000 of sales in cash. Aug 28 - The owner of the company advises you that during the entire month of Aug a total of 175 shoes have been returned for a full refund and must be returned back to the vendor for credit. Below is the breakdown: Nike - 50 pairs of shoes Adidas - 25 pairs of shoes Reebok - 25 pairs of shoes Misc - 75 pairs of shoes
