gnment 7-Ch.6-1.5% Question 4 of 5 View Policies Show Attempt History < > Current Attempt in Progress 12.5/20 E The following are transactions between Sunland Corp, the consignor, and Sandhill Stores Ltd., the consignee, for the month of June 2023. Sunland uses a perpetual inventory system and has a separate perpetual record for inventory sent out on consignment. At the end of each month, sales are reported by Sandhill to Sunland and a net payment is made. The agreement stipulates that Sandhill is to receive a 15% (of sales) commission and a 6% (of sales) rebate to offset its advertising expenses. June 1 Sunland ships merchandise costing $468,000 on consignment to Sandhill Stores June 5 Sunland pays the freight of $5,000 for the above shipment of June 1. June 30 June 30 Summary entry for the month of June: Sandhill sells half of the merchandise for $675,000 cash. Sandhill notifies Sunland that 50% of the merchandise has been sold for $675,000 and remits a cheque for the amount due under the consignment agreement. Sunland records the receipt of the cheque from Sandhill. (a) (a) Your answer is correct. Prepare the journal entries necessary on the books of Sunland. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem. List all debit entries before credit entries.) Date Account Titles and Explanation June 1 Inventory on Consignment Inventory June 5 Inventory on Consignment Cash June 30 v No Entry No Entry (To record summary entry) Debit Credit 468000 5000 4680 50 Question 4 of 5 < (To record summary entry) June 30 Cash Commission Expense Advertising Expense Revenue from Consignment Sales (To record consignment sales) June 30 Cost of Goods Sold Inventory on Consignment (To record cost of goods sold) eTextbook and Media 533250 101250 40500 236500 12.5/20 E 6750X 2365 (b) Your answer is partially correct. Prepare the journal entries necessary on the books of Sandhill Stores. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts Record journal entries in the order presented in the problem. List all debit entries before credit entries) Date: Account Titles and Explanation June 1 No Entry Finished Goods Inventory June 5 Inventory on Consignment Cash June 30 Cost of Goods Sold Inventory on Consignment Debit Credit 468000 46800 5000 5000 234000 23400 Date June 1 v June 5 June 30 Account Titles and Explanation No Entry Finished Goods Inventory Inventory on Consignment Cash Cost of Goods Sold Inventory on Consignent (To record summary entry) June 30 Cash Debit 468000 Credit 5000 234000 533250 Advertising Expense Commission Expense Revenue from Consignment Sales (To record payment to consignor) 40500 101250 46800 500 23400 67500