Question
James Company began the month of October with inventory of $15,000. The following inventory transactions occurred during the month: a. The company purchased merchandise on
| James Company began the month of October with inventory of $15,000. The following inventory transactions occurred during the month: |
| a. | The company purchased merchandise on account for $22,000 on October 12, 2016. Terms of the purchase were 2/10, n/30. James uses the net method to record purchases. The merchandise was shipped f.o.b. shipping point and freight charges of $500 were paid in cash. |
| b. | On October 31, James paid for the merchandise purchased on October 12. |
| c. | During October merchandise costing $18,000 was sold on account for $28,000. |
| d. | It was determined that inventory on hand at the end of October cost $19,060. |
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Auditing As Preventive Measure Of Future Financial Crisis Internal Control System Possibilities And Dangers
Authors: Muhammed Zakir Hossain
1st Edition
365918781X, 978-3659187810
