Check my work 4 On May 11, 2020, Wilson Purchasing purchased $23,000 of merchandise from Happy Sales, terms 2/10, 1/90, FOB Happy Sales. The cost of the goods to Happy was $18,000. Wilson paid $1,300 to Express Shipping Service for the delivery charges on the merchandise on May 11. On May 12, Wilson returned $3,600 of goods to Happy Sales, which restored them to inventory. The returned goods had cost Happy $2,800. On May 20, Wilson malled a cheque to Happy for the amount owed on that date. Happy received and recorded the cheque on May 21. Required: a. Present the journal entries that Wilson Purchasing should record for these transactions. Assume that Wilson uses a perpetual Inventory system View transaction list Journal entry worksheet 1 2 3 4 Record the purchase of merchandise on credit: terms 2/10, V90. Note: Enter debits before credits Date General Journal Debit Credit May 11, 2020 Record entry Clear entry View general Journal Check my work 4 On May 11, 2020, Wilson Purchasing purchased $23,000 of merchandise from Happy Sales: terms 2/10, 90, FOB Happy Sales. The cost of the goods to Happy was $18,000. Wilson paid $1,300 to Express Shipping Service for the delivery charges on the merchandise on May 11. On May 12, Wilson returned $3,600 of goods to Happy Sales, which restored them to inventory. The returned goods had cost Happy $2,800. On May 20, Wilson malled a cheque to Happy for the amount owed on that date. Happy received and recorded the cheque on May 21. Required: a. Present the journal entries that Wilson Purchasing should record for these transactions. Assume that Wilson uses a perpetual inventory system View transaction dat Journal entry worksheet Check my wc 7 b. Present the journal entries that Happy Sales should record for these transactions. Assume that Happy uses a perpetual inventory system. View transaction list Journal entry worksheet 2 1 3 4 5 Record sale of merchandise on account; 2/10, 1/90. Note: Enter debits before credits General Journal Debit Credit Date May 11, 2020 View general Journal Clear entry Record entry Check my won b. Present the journal entries that Happy Sales should record for these transactions. Assume that Happy uses a perpetual inventory system. View transaction list X 1 Record sale of merchandise on account; 2/10, n/90. 2 Record cost of sale. 3 Record the entry for accepting a return from a customer. 4 Record the cost of returned goods. Credit 5 Record the entry for receipt of balance within the discount period Note : journal entry has been entered View general Journal Record entry Clear entry Test module 6-chpt 5 Saree Help Save & Exit Sub Check my work 4 1 Record sale of merchandise on account; 2/10, 1/90. 2 cord cost of sale. 3 Record the entry for accepting a return from a customer. 4 Record the cost of returned goods. 5 Record the entry for receipt of balance within the discount period. Credit Note : = journal entry has been entered Record entry Clear entry View general Journal Analysis Component: Assume that the buyer, Wilson Purchasing, borrowed enough cash to pay the balance on the last day of the discount period at an annual interest rate of 4% and paid it back on the last day of the credit period. Calculate how much the buyer saved by following this strategy. (Use a 365-day year. Round intermediate calculations and final answer to 2 decimal places.) Net savings
