C6-2 (Algo) Preparing Journal Entries for Inventory Purchases, Sales, Returns, and (Gross Method) Discounts, and Adjusting Income Tax (Chapters 4 and 6) [LO 6-3, LO 6-4, LO 6-6, LO 6-S1] (General Ledger) a. On October 1, the Business Students' Society (BSS) placed an order for 290 golf shints at a unit cost of $20, under terms 2/10. n/30. b. The order wos recelved on October 10, but some golf shirts differed from what had been ordered. Uncertain whether the shirts would be returned or kept, BSS decided to record any purchase discount only when taken (using the gross method). c. On October 11. 115 golf shirts were returned to the supplier. d. On October 12, BSS complained the remaining golf shirts were slightly defective so the supplier granted a $100 allowance. e. BSS paid for the golt shirts on October 13 . f. During the first week of October, BSS recelyed student and faculty orders for 80 golf shirts, at a unit price of $98, on terms 2/10, n/30. 9. The golf shirts were delivered to these customers on October f8. Unfortunately, customers were unhappy with the golf shirts, so BSS permitted them to be returned or given an aliowance (see hand A. Uncertalin whether customers would keep or return the shirts, BSS decided to record any sales discount only when taken (using the gross method). h. On October 19, one-half of the golf shirts were returned by customers to BSS. 1. On October 20 , an allowance was given on account equal to $10.60 per shirt for the remoining 40 shirts. 1. The customers poid their remaining balances on the last day of the month, October 31 . No further retums are expected. Prepare joumal entries for the transactions described in events (a) through (3), using the date of each transaction as its reference. Assume BSS uses perpetual inventory accounts and accrue office expenses of $386 incurred on account, and to accrue income taxes of 1114. (If no entry is reguired for a transaction/even, belect "No Joumal Entry Hequired" in the first account field.) Show less a 4. On October 20, an allowance was given on account equal to $10.60 per shirt for the remaining 40 shirts. 1. The customers paid their remaining balances on the last day of the month. October 31 . No further returns are expected. Prepare journal entries for the transactions described in events (a) through (j), using the date of each transaction as its reference. Assume BSS uses perpetual inventory accounts and accrue office expenses of $386 incurred on account, and to accrue income taxes of $114. (If no entry is required for a transaction/event, select "No Joumal Entry Required" in the first account field.) Journal entry worksheet Notet tnter gedits berore creaits, would be returned or kept, 8SS declded to record any purchase discount only when taken (using the gross method) c. On October 11,115 golf shirts were returned to the supplier. d. On October 12, BSS complained the remaining golf shirts were slightly defective so the supplier granted a $100 allowance. e. BSS paid for the golf shirts on October 13. f. During the first week of October, BSS recelved student and faculty orders for 80 golf shirts, at a unit price of $98, on terms 2/10. n/30. g. The golf shirts were dellvered to these customers on October 18. Unfortunately, customers were unhappy with the golf shirts, so BSS permitted them to be returned of given an allowance (5ee h and . Uncertain whether customers would keep or return the shirts, BSS decided to record any sales discount only when taken (using the gross method) h. On October 19 , one-half of the golf shirts were returned by customers to BSS. 1. On October 20, an allowance was given on account equal to $10.60 per shirt for the remaining 40 shirts. j. The customers paid their remaining balances on the last day of the month, October 31 . No further returns are expected. Each joumal entry is posted automatically to the general ledger. You may view the adjusted trial balance. 40 points The post-closing balances will appear for each account based on your selection