At the beginning of April, the ledger of Rose showed Cash of $$9,000$ and Common Stock

of $$9,000.$ Rose Company completed these transactions in April.

USE the Chart of Accounts below! Mdse $=$ Bob shorthand for "Merchandise"

Instructions

$($a$)$ Journalize these transactions using the working papers provided.

Apr. $2$ Purchased mdse on account from K$-$Supply. $$7,000,$ terms $\frac{1}{10},\frac{n}{30}.$

$4$ Sold $$4,000$ in mdse, on account, to A$-$Corp, FOB destination, terms $\frac{1}{10},\frac{n}{30}.$

$($The cost of the mdse sold was $$2,200.)$ Two entries req'd $-(1)$ SALE to customer:

$(2)$ recognize my cost and reduce my inventory$).$

$5$ Paid $$200$ freight on April $4$ sale.

$6$ Received credit from K$-$Supply Co$.$ for mdse I returned $$500.$

$11$ Paid K$-$Supply Co$.$ in full, taking the discount. $($from Apr $2$ transaction$)$

$13$ Received collections in full, less discounts, from A$-$Corp $($Apr $4$ transaction$).$

$14$ Purchased mdse for cash $$3,800.$

$16$ Received a $$500$ cash refund from the supplier $($for defective mdse returned to the

supplier of the Apr $14$ transaction.$)$

$18$ Purchased mdse from DavCo. $$4,500,$ FOB shipping point, terms $2/10,$ n$/30.$

$20$ Paid freight on April $18$ purchase $$100.$

$23$ Sold mdse for cash $$7,400$ to customer AJ$.$ The mdse cost is $$5,000.$

$26$ Purchased mdse for cash $$2,300.$

$27$ Paid DavCo $($Apr $18)$ in full, less discount.

$29$ Made refunds to previous cash customers for defective mdse in the amount of $$105.$

$($The returned merchandise had a fair value of $$40.)($If you made $2$ entries to sell it $-$

you need $2$ entries to refund $-$ basically a partial "reversal" of the sale$)$

$30$ Sold mdse on account $$3,700,$ terms $\frac{n}{30}.$ The cost of the mdse sold was $$2,800.$

The chart of accounts for this assignment includes: Cash. Accts Recbl, Inventory, Accts

Pxble, Common Stock, Sales Revenue, Sales Return & Allow, Sales Discounts, Cost of

Goods Sold, and Freight$-$Out.