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8 1 ! Required information [ The following information applies to the questions displayed below. ] Sydney Retailing ( buyer ) and Troy Wholesalers (
Required information
The following information applies to the questions displayed below.
Sydney Retailing buyer and Troy Wholesalers seller enter into the following transactions.
May Sydney accepts delivery of $ of merchandise it purchases for resale from Troy: invoice dated May terms FOB shipping point. The goods cost Troy $ Sydney pays $ cash to Express Shipping for delivery charges on the merchandise.
May Sydney returns $ of the $ of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $
May Sydney pays Troy for the amount owed. Troy receives the cash immediately.
Both Sydney and Troy use a perpetual inventory system and the net method.
Prepare journal entries that Sydney Retailing buyer records for these three transactions.
Answer is complete but not entirely correct.
tableNoDate,General Journal,Debit,CreditMay Merchandise inventory,Accounts payable,
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