Exercise 224 (Part Level Submission) The following transactions are for Kale Company (1) On December 3 Kale Company sold $500,000 of merchandise to Thomson Co., terms 1/10 (2) On December 8 Thomson Co. was granted an allowance of $20,000 for merchandise purchased (3) On December 13 Kale Company received the balance due from Thomson Co n/30. The cost of the merchandise sold was $320,000 on December 3 Your answer is correct. Prepare the journal entries to record these transactions on the books of Kale Company. Kale uses a perpetual inventory system. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. Date Account Titles and Explanation Debit Credit (1) Dec. 3 Accounts Receivable 500,000 Sales Revenu 500,000 To record credt sale) ost of Goods Sold nventory To record cost of good sold) 320,000 320,000 (2) Dec. 8 Sales Returns and Allowance s) 20,000 ccounts Receivable 20,000 (3) Dec. 13 Cash 75,200 Sales Discounts 800 ccounts Receivable 80,000 Attempts: 1 of 3 used Assume that Kale Company received the balance due from Thomson Co. on January 2 of the following year instead of December 13. Prepare the journal entry to record the receipt of payment on January 2. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 2