EXAMPLE We buy 100 iPhones for $800 each, let's see the entries if: We buy them for cash We buy them on credit (2/10, n/30) We return 10 of them We are granted a sales allowance of $4,000 The sale is FOB shipping point, and shipping costs $1,000

We buy 100 iPhones for $800 each, let's see the entries if: - We buy them for cash - We buy them on credit (2/10,n/30) - We return 10 of them - We are granted a sales allowance of $4,000 - The sale is FOB shipping point, and shipping costs $1,000