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Journalize the following transactions for Park Gift Shop. Mar. 5: Purchased $4,400 of merchandise inventory on account, 3/10, r/EOM and FOB shipping point. Mar. 9:
Journalize the following transactions for Park Gift Shop. Mar. 5: Purchased $4,400 of merchandise inventory on account, 3/10, r/EOM and FOB shipping point. Mar. 9: Returned $700 of defective merchandise purchased on March 5. Mar. 11: Paid the freight bill of $250 on the March 5 purchase. Mar. 12: Sold merchandise inventory on account for $5,200., 2/15, n/30. These goods cost the company $3,700 Mar. 14: Paid amount owed on credit purchase of March 5, less the return and the discount. Mar. 30: Received cash from the March 12 customer in full settlement of the debt. General Journal Post ref Date Description DR CR 1 Anderson Plumbing Fixtures reported the following income statement for the year ended December 31, 2017 $258,000 Anderson Plumbing Fixtures Income Statement Year Ended December 31, 2017 Sales Revenue Cost of Goods Sold Beginning Merchandise Inventory $43,500 Net Cost of Purchases 145.000 Cost of Goods Available for Sale 188,500 Less: Ending Merchandise Inventory 38.000 Cost of Goods Sold: Gross Profit Operating Expenses Net Income 150.000 107,500 87,200 $20,300 Compute inventory turnover rate for the year. Compute days' sales in inventory for the year
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