Question
Journalize the December transactions using a perpetual inventory system. On December 1, 2017, Devine Distributing Company had the following account balances. Debit Credit Cash $7,000
Journalize the December transactions using a perpetual inventory system.
On December 1, 2017, Devine Distributing Company had the following account balances.
Debit Credit
Cash $7,000 Accumulated DepreciationEquipment $2,200
Accounts Receivable 5,000 Accounts Payable 4,700
Inventory 12,400 Salaries and Wages Payable 1,000
Supplies 1,300 Common Stock 15,400
Equipment 22,000 Retained Earnings 24,400
$47,700 47,700
During December, the company completed the following summary transactions.
Dec. 6 Paid $1,600 for salaries due employees, of which $600 is for December and $1,000 is for November salaries payable.
8 Received $1,800 cash from customers in payment of account (no discount allowed).
10 Sold merchandise for cash $6,900. The cost of the merchandise sold was $3,900.
13 Purchased merchandise on account from Hecht Co. $8,700, terms 2/10, n/30.
15 Purchased supplies for cash $1,800.
18 Sold merchandise on account $12,400, terms 3/10, n/30. The cost of the merchandise sold was $8,000.
20 Paid salaries $1,700.
23 Paid Hecht Co. in full, less discount.
27 Received collections in full, less discounts, from customers billed on December 18.
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