Adam Nichols, a former disc golf star, operates Adam?s Discorama. At the beginning of the current season on April 1, the ledger of Adam?s Discorama showed Cash $2,000.00, Inventory $2,500.00, and Owner?s Capital $4,500.00. The following transactions were completed during April.

Apr. 5	Purchased golf discs, bags, and other inventory on account from Rayford Co. $1,200.00, FOB shipping point, terms2/10, n/60.
7	Paid freight on the Rayford purchase $40.00.
9	Received credit from Rayford Co. for merchandise returned $200.00.
10	Sold merchandise on account for $860.00, terms n/30. The merchandise sold had a cost of $516.00.
12	Purchased disc golf shirts and other accessories on account from Galaxy Sportswear $570.00, terms 1/10, n/30.
14	Paid Rayford Co. in full, less discount.
17	Received credit from Galaxy Sportswear for merchandise returned $80.00.
20	Made sales on account for $580.00, terms n/30. The cost of the merchandise sold was $310.00.
21	Paid Galaxy Sportswear in full, less discount.
27	Granted an allowance to customers for clothing that was flawed$40.00.
30	Received payments on account from customers $960.00.

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Print by: Sean Kontogianis AB114: Accounting I - 1505C-02 / 114 Unit 8 Assignment *Problem 5-4A Adam Nichols, a former disc golf star, operates Adam's Discorama. At the beginning of the current season on April 1, the ledger of Adam's Discorama showed Cash $2,000.00, Inventory $2,500.00, and Owner's Capital $4,500.00. The following transactions were completed during April. Apr. 5 7 9 10 12 14 17 20 21 27 30 Purchased golf discs, bags, and other inventory on account from Rayford Co. $1,200.00, FOB shipping point, terms 2/10, n/60. Paid freight on the Rayford purchase $40.00. Received credit from Rayford Co. for merchandise returned $200.00. Sold merchandise on account for $860.00, terms n/30. The merchandise sold had a cost of $516.00. Purchased disc golf shirts and other accessories on account from Galaxy Sportswear $570.00, terms 1/10, n/30. Paid Rayford Co. in full, less discount. Received credit from Galaxy Sportswear for merchandise returned $80.00. Made sales on account for $580.00, terms n/30. The cost of the merchandise sold was $310.00. Paid Galaxy Sportswear in full, less discount. Granted an allowance to customers for clothing that was flawed$40.00. Received payments on account from customers $960.00. Journalize the April transactions using a perpetual inventory system. (Record entries in the order displayed in the problem statement. Round answers to 2 decimal places, e.g. 125.25. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation (To record credit sale.) (To record cost of merchandise sold.) Debit Credit (To record credit sale.) (To record cost of merchandise sold.) Enter the beginning balances in the ledger accounts and post the April transactions. (Post entries in the order of journal entries presented in the previous question. Round answers to 2 decimal places, e.g. 125.25.) Cash Date Explanation Ref Balance Debit Credit Balance Debit Credit Balance No. 101 J1 J1 J1 Accounts Receivable Date J1 Explanation Ref J1 No. 112 J1 J1 Inventory Date J1 Explanation Ref Balance J1 J1 J1 J1 J1 Debit Credit Balance No. 120 J1 J1 J1 Accounts Payable Date J1 Explanation Ref J1 Debit Credit Balance No. 201 J1 J1 J1 J1 Owner's Capital Date Sales Revenue Date J1 Explanation Ref Balance Explanation Ref J1 Sales Returns and Allowances Date Cost of Goods Sold Date Debit Credit Debit Credit Balance J1 Explanation Ref J1 Explanation Ref J1 Debit Credit Debit Credit J1 Prepare a trial balance on April 30, 2014. (Round answers to 2 decimal places, e.g. 125.25.) ADAM'S DISCORAMA Trial Balance April 30, 2014 Debit $ Balance Credit $ Balance Balance No. 301 No. 401 No. 412 No. 505 $ $ Question Attempts: 0 of 5 used Copyright 2000-2016 by John Wiley & Sons, Inc. or related companies. All rights reserved