Exercise 5-04 a-b (Part Level Submission) (Video) On June 10, Ivanhoe Company purchased $9,500 of merchandise on account from Sarasota Company, FOEB shipping point, terms 1/10, n/30. Ivanhoe pays the freight costs of $580 on June 11. Damaged goods totaling $400 are returned to Sarasota for credit on June 12. The fair value of these goods is $80. On June 19, Ivanhoe pays Sarasota Company in full, less the purchase discount. Both companies use a perpetual inventory system. (a) Your answer is correct Prepare separate entries for each transaction on the books of Ivanhoe Company. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit June 10 Inventory 9500 Accounts Payable 9500 580 June 11 Inventory Cash 580 June 12 Accounts Payable 400 400 Inventory June 19 Accounts Payable 9100 Inventory 91 Cash 9009 SHOW LIST OF ACCOUNTS SHOW SOLUTION SHOW ANSWER LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE Attempts: 1 of 3 used Prepare separate entries for each transaction for Sarasota Company. The merchandise purchased by Ivanhoe on June 10 had cost Sarasota $4,500. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Debit Date Account Titles and Explanation Credit To record credit sale) To record cost of merchandise sold) (To record merchandise returned) To record cost of merchandise returned) SHOW LIST OF ACCOUNTS LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE