Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

E 6 - 3 ( Algo ) Reporting Net Sales with Credit Sales, Sales Discounts, Sales Returns, and Credit Card Sales L 0 6 -

image text in transcribed
E6-3(Algo) Reporting Net Sales with Credit Sales, Sales Discounts, Sales Returns, and Credit Card Sales L06-1
The following transactions were selected from among those completed by Bennett Retailers in November and December:
November 20 Sold 20 items of merchandise to Customer B at an invoice price of $5,600(total); terms 310,n30.
November 25 Sold two items of merchandise to Customer C, who charged the $500(total) sales price on her visa credit card. Visa charges Bennett Retailers a 1 percent credit card fee.
November 28 Sold 10 identical items of merchandise to Customer D at an invoice price of $9,600(total); terms
November 29,310,n30.
November 29 Customer D returned one of the items purchased on the 28th; the item was defective and credit was
December 6 Customer D paid the account balance in full.
December 20 Customer B paid in full for the invoice of November 20.
Required:
Assume that Sales Returns and Allowances, Sales Discounts, and Credit Card Discounts are treated as contra-revenues; compute net sales for the two months ended December 31.
Note: Do not round your intermediate calculations. Round your answer to the nearest whole dollar amount.
Net sales
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting Tools for Business Decision Making

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine

7th Canadian edition

1119368456, 978-1119211587, 1119211581, 978-1119320623, 978-1119368458

More Books

Students also viewed these Accounting questions