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Date Account Titles and Explanation Debit Credit (To record sales on account) (To record cost of goods sold.) SUPPORT (To record credit for goods returned.)
Date Account Titles and Explanation Debit Credit (To record sales on account) (To record cost of goods sold.) SUPPORT (To record credit for goods returned.) (To record cost of goods returned.) SUPP Current Attempt in Progress Prepare journal entries to record the following sales transactions in Trig Company's books. Trig uses a perpetual inventory system and the contract-based approach for revenue recognition. Management estimates that 10% of sales will be returned by customers within the 10 -day return period. Feb. 2 Trig sold $16,000 of merchandise to Kotter Company, terms n/30, FOB shipping point. The cost of the merchandise sold was $6,400. 4 The correct company paid freight costs of $215. 6 Kotter Company returned $1,600 of the merchandise purchased on February 2 because it was not needed. The cost of the merchandise returned was $640, and it was restored to inventory. Mar. 1 Trig received the balance due from Kotter. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem. List all debit entries before credit entries)
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