Amanda Corporation purchased inventory costing $$120,000$ and sold $70\%$ of the goods for $$154,000.$ All purchases and sales were on account. Amanda later collected $25\%$ of the accounts receivable. Assume that sales returns are nonexistent.

Read the requirements.

Journalize these transactions for Amanda, which uses the perpetual inventory system.

Journalize the purchase of inventory. $($Record debits first, then credits. Exclude explanations from any journal entries.$)$

Journal

Accounts

Debit

Credit