Question
Coyote company sold a merchandise costing $30,000 for $50,000 on credit to Beer Company on 4/1/2020. To expedite the cash payment, Coyote offered a cash
Coyote company sold a merchandise costing $30,000 for $50,000 on credit to Beer Company on 4/1/2020. To expedite the cash payment, Coyote offered a cash discount of 3/15, n/30.
INSTRUCTIONS : prepare any necessary journal entries for the following transactions for the seller and the buyer using the net method
a) the credit sale on 4/1/2020
b) a receipt of the full payment if it is paid on 4/10/2020
c) a receipt of the full payment if it is paid on 4/24/2020
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Financial Accounting
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
4th Edition
0471072419, 978-0471072416
