Exercise 28 On June 10, Good Grocery was granted an allowance of P150 for an office table that is purchased on account two days ago from Restwell Furniture Store. Direction: Give the journal entries in the books of both the seller and the buyer. Exercise 29 ABAKADA Bookstore makes purchases at least twice a year. Sales price is usually 200% of cost. The company uses perpetual method. You are given the following information a) 2,000 copies of books were in the bookstore as of December 31, 2018. The unit cost averaged P87 including freight. b) May invoice showed 5,000 copies ordered from Jasmine Printing Press at a unit cost of P90. Freight amounted to P5,000. c) 3,000 books were sold on account coming from the May purchase d) October invoice showed 3,000 copies were purchased on account from Pauline Printers at a unit cost of P85. Freight amounted to P7,500. e) Sold for cash 1,000 of the books in stock as at Jan 1, 2019 Direction: a) Give the entries and compute for the gross profit. b) Prepare a stock card and determine inventory balance at the end of the year. Exercise 30 For each of the following purchases of Friends Company, assume that credit terms are 2/10, n/30 and that any credit memorandum was issued and known before Friends Company made the payments. Credit Memorandum Amount Shipping Terms Prepaid Freight (by seller) P1,500 A P P 20,000 60,000 B F.O.B. shipping point F.O.B. shipping point F.O.B. destination 5,000 8,500 120,000 7,200 10,000 Direction: In each case, determine (a) the appropriate cash discount available and (b) tb cash remitted if the payment is made within the discount period