customers. A merchandiser, therefore, may Deen- given transaction, depending upon whether product is being purchased (and adda to the stock of inventory), or sold (and removed from the stock of inventory.) A vendor is a company or individual that a merchandiser purchases good from. A eustomer is a company or individual that a merchandiser sells goods to Inventory consists of items that are purchased for resale. Note that inventory is different from supplies. Supplies are items that are purchased to be used in the operation of the business, not to be sold to customers. For example, a merchandiser may have Windes glass cleaner on hand. It is considered inventory if it will be resold to customers and is considered a supply if it is used in running the business to keep the check-out counters clean. Similarly, inventory is also different from fixed assets such as equipment. For example, a merchandiser may have desktop computers on hand. They are considered inventory if they are to be resold to customers, such as in the case of Best Buy, Dell, or Apple. They would be classified as equipment if the merchandiser is using the computers to tyhovo 12. Merchandise with an in ce price 1500s best to terms of 2/10, 1/30,00 Shipping the seller prepaid $147 for the cost of transportation How much does the seller in the sales account at the time of the sale? ACCOUNES LENO 15900 13 14. sales invoice included the following information: merchandise price, 545,700, transportation $1,800, terms 2/10, 1/30, FOR destination Assuming that merchandise that cost $3,400 returned before it has been paid for that the transportation is paid by the seller, and that the invoice is paid within the discount period, what is the amount of cash that buyer pays the seller 145700 3400 42300 91454 A sales invoice included the following information: merchandise price, $77,700; transportation, $1,600; terms 1/10, 1/30, FOB shipping. Assuming that merchandise that cost $3,700 is returned before it has been paid for that the transportation is prepaid by the seller. and that the invoice is paid within the discount period, what is the amount of cash that buyer pays the seller? 74000 - 740 = 13260 A company has 12 units in inventory at the beginning of May and paid $65 for each unit. On May 2. the company buys 17 more units and pays $67 for each unit. On May 5, the company sells 20 units for $99 each. If the company maintains its inventory using UFO, what is the cost of merchandise sold? PurchartC UMS Inventory Journal Entries. Questions 16 through 19 are journal entries for a merchandising business. Enter the accounts and amounts for each transaction. Spell out all account names; do not abbreviate. Use the transaction number in the date column