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An inexperienced accountant for Cheyenne Corp. made the following errors in recording merchandising transactions. 1. 2. A $200 refund to a customer for faulty
An inexperienced accountant for Cheyenne Corp. made the following errors in recording merchandising transactions. 1. 2. A $200 refund to a customer for faulty merchandise was debited to Sales Revenue $200 and credited to Cash $200. A $181 credit purchase of supplies was debited to Inventory $181 and credited to Cash $181. 3. 4. A $260 sales discount was debited to Sales Revenue. A cash payment of $61 for freight on merchandise purchases was debited to Freight-Out $610 and credited to Cash $610. Prepare separate correcting entries for each error, assuming that the incorrect entry is not reversed. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
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