Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Exercise 121 Corona Company uses a sales journal, a cash receipts journal, and a general journal to record transactions with its customers. The cost of
Exercise 121 Corona Company uses a sales journal, a cash receipts journal, and a general journal to record transactions with its customers. The cost of all merchandise sold was 65% of the sales price. July 2 Sold merchandise for $18,000 to M. Jordan on account. Credit terms 1/10, n/30. Sales invoice No. 100 July 5 Received a check for $1,300 from K. Bryant in payment of his account. uly 8 Sold merchandise to S. O'Neal for $900 cash July 10 Received a check in payment of Sales invoice No. 100 from M. Jordan minus the 1% discount. July 15 Sold merchandise for $7,000 to K. Jabbar on account. Credit terms 1/10, n/30. Sales invoice No. July 18 Borrowed $15,000 cash from Pacific Bank signing a 6-month, 10% note. July 20 Sold merchandise for $12,000 to 1. West on account. Credit terms 1/10, n/30. Sales invoice No. 102 July 25 Issued a credit (reduction) of $760 to J. West as an allowance for damaged merchandise previously sold on account. July 31 Received a check from K. Jabbar for $5,500 as payment on account. 101. Record the above transactions in the appropriate journals. (Record entries in the order displayed in the problem statement.) CORONA COMPANY Sales Journal S1 Accounts Receivable Dr. Sales Revenue Cr. Cost of Goods Sold Dr. Inventory Cr. Date Account Debited Invoice No. Ref. (credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit CORONA COMPANY Cash Receipts Journal CR1 Cost of Goods Sold Dr. Inventory Cr Sales R Sales Discounts Dr.Accounts Receivable evenue Cr. Other Accounts Cr. Date Account Credited Cr. Click if you would like to Show Work for this question: Open Show Work SHOW LIST OF ACCOUNTS
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started