Ashley Company engaged in the following transactions in August 20x1:

Aug. 4 Purchased merchandise on account at a cost of $ 14,000; terms 2/10, n/30, FOB shipping Point.

Aug. 6 Paid freight of $200 on the purchase of August 4.

Aug. 10 Sold goods for $10,000; terms 2/10, n/30. The cost of goods sold is $9,000.

Aug. 12 Returned to the vendor, $2,400 worth of the merchandise purchased on August 4.

Aug. 14 Paid the amount due on the purchase of August 4.

Requirement:

1) Using the template, prepare journal entry for Ashley transactions assuming:

i) Periodic system.

ii) Perpetual system.

Ashley Company
Journal Entries
Date		Account Name	Periodic System			Perpetual System
August			Debit	Credit		Debit	Credit
4
6
10	a)
	b)
12
14