Current Attempt in Progress Skysong, Inc. completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Skysong, Inc. showed Cash of $8,700 and Common Stock of $8,600 May 1 2 5 9 10 Purchased merchandise on account from Black Wholesale Supply for $ 7.200, terms 1/10, 1/30 Sold merchandise on account $4,800, terms 2/10, 1/30. The cost of the merchandise sold was $3,300. Received credit from Black Wholesale Supply for merchandise returned $ 200, Received collections in tult, less discounts, from customers billed on May 2. Paid Black Wholesale Supply in full less discount Purchased supplies for cash $1,000 Purchased merchandise for cash $2,800, Received 5 210 refund for return of poor quality merchandise from supplier on cash purchase Purchased merchandise on account from Wilhelm Distributors for $2.700 terms 2/10, 1/30 Paid freighton May 17 purchase $ 250 11 12 15 17 19 24 Sold merchandise for cash $ 5.100. The merchandise sold had a cost of $ 4,300. mework Question 5 of 5 2.38/6 17 19 24 25 Purchased merchandise on account from Wilhelm Distributors for $ 2,700, terms 2/10, 1/30. Paid freight on May 17 purchase $ 250. Sold merchandise for cash $ 5,100. The merchandise sold had a cost of $4,300. Purchased merchandise on account from Clasps, Inc. For $ 900, terms 3/10,n/30 Paid Wilhelm Distributors in full less discount. Made refunds to cash customers for returned merchandise $ 116. The returned merchandise cost $ 9. Sold merchandise on account for $ 1,330 terms n/30. The cost of the merchandise sold was $ 850 27 29 31 Skysong.Inc's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No 126 Supplies, No. 201 Accounts Payable, No. 311 Common Stock, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts and No. 505 Cost of Goods Sold Question 5 of 5 2.38/6 E sh No. 101 Date Explanation Ref. Debit Credit Balance May 1 Balance 1 i 8,700 May 31 4704 13404 May 10 31 6930 6474 May 11 31 1,000 5474 May 12 31 2.800 2674 May 15 31 210 2884 May 19 31 250 2634 May 24 31 5.100 7694 May 27 01 1 2646 3048 May 29 1 9 5039 26 dtv A May 1 V Inventory 7.200 Accounts Payable 7.200 May 2 Accounts Receivable 4.800 Sales Revenue 4.800 (To record credit sale) May 2 Cost of Goods Sold 3,300 Inventory 3,300 (To record cost of merchandise sold) Mays Accounts Payable 200 Inventory 200 May Cor 4704 Sales Discounts 96 Question 5 of 5
