5 Problem 4-1A Preparing journal entries for merchandising activities-perpetual system LO P1, P2 Prepare journal entries to record the following merchandising transactions of Cabela's, which uses the perpetual inventory system and the gross method. Hiner will help to identify each receivable and payable; for example, record the purchase on July 1 in Accounts Payable Boden 275 points Book July 1 Purchased merchandise from Boden Company for $6,90 under credit teras of 2/15, n/30, FOB shipping point, invoice dated July 1. 2 Sold merchandise to Creek Co. for $950 under credit terms of 2/10, 1/60, FOB shipping point, Invoice dated July 2. The merchandise had cost $575. 3 Paid 5135 cash for freight charges on the purchase of July 1. & Sold merchandise that had cost $2,200 for $2,600 cash. 9 Purchased merchandise from Leight Co. for $2,200 under credit terms of 2/15, 1/6, FOB destination, invoice dated July 9. 11 Returned $200 of merchandise purchased on July 9 from Leight Co. and debited its account payable for that amount. 12 Received the balance due from Creek Co. for the invoice dated July 2, net of the discount. 16 Paia the balance due to Boden Company within the discount period. 19 Sold merchandise that cost $1,000 to Art Co. for $1,500 under credit terms of 2/15, 1/60, FOB shipping point, invoice dated July 19. 21 Gave a price reduction (alioance) of $250 to Art Co. for merchandise sold on July 19 and credited Art's accounts receivable for that amount. 24 Paid Leight Co. the balance due, net of discount. 30 Received the balance due from Art Co. for the invoice dated July 19, net of discount. 31 Sold merchandise that cost 55,700 to Creek Co. for 57,800 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31. View transaccionist Journal entry worksheet Prev 5 of 6 Next > pe here to search 0 the invoice dated July 19, net of discount. 700 to Creek Co. for $7,000 under credit terms of 2/1e, n/68, FOB shipping po View transaction list book Journal entry worksheet Print 2 3 4 Purchased merchandise from Boden Company for $6,900 under credit terms of 2/15, 1/30, FOB shipping point, invoice dated July 1. 5 6 7 . 17 Note Enter debits before credits. Date July 01 General Journal Debit Credit Record entry Clear entry to search View general journal Prev 5 of 6 ! Next >