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Journalize the following transactions that occurred in November 2018 for Sarahs Special Place, assuming the perpetual inventory system is being used. No explanations are needed.
Journalize the following transactions that occurred in November 2018 for Sarah’s Special Place, assuming the perpetual inventory system is being used. No explanations are needed. Identify each accounts payable and accounts receivable with the vendor or customer name. Sarah’s Special Place estimates sales returns at the end of each month.
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Nov. 4 6 8 Returned half of the inventory purchased on November 4 from Vancouver Company. 10 Sold merchandise inventory for cash, $2,000. Cost of goods, $800. FOB destination. 11 Sold merchandise inventory to Garrett Corporation, $10,500, on account, terms 1/10, n/EOM. Cost of goods, $5,775. FOB shipping point. 12 Paid freight bill of $60 on November 10 sale. 13 14 17 18 Purchased merchandise inventory on account from Vancouver Company, $11,000. Terms 1/10, n/EOM, FOB shipping point. Paid freight bill of $150 on November 4 purchase. 20 26 28 29 Sold merchandise inventory to Cabato Company, $8,500 on account, terms of n/45. Cost of goods, $4,675. FOB shipping point. Paid the amount owed on account from November 4, less return and discount. Received defective inventory as a sales return from the November 13 sale, $300. Cost of goods, $165. Purchased inventory of $3,500 on account from Russo Corporation. Payment terms were 2/10, n/30, FOB destination. Received cash from Garrett Corporation, less discount. Paid amount owed on account from November 18, less discount. Received cash from Cabato Company, less return. Purchased inventory from Sully Corporation for cash, $11,900, FOB shipping point. Freight in paid to shipping company, $180.
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