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Lien Company engaged in the following transactions: July 2 Purchased merchandise on credit from Jonak Company, terms 2/10, n/30, FOB destination, invoice dated July 1,
Lien Company engaged in the following transactions:
July 2 Purchased merchandise on credit from Jonak Company, terms 2/10, n/30, FOB destination, invoice dated July 1, $4,000.
6 Returned some merchandise to Jonak Company for full credit, $500.
11 Paid Jonak Company for purchase of July 2 less return and discount.
14 Purchased merchandise on credit from Jonak Company, terms 2/10, n/30, FOB destination, invoice dated July 12, $4,500.
31 Paid amount owed Jonak Company for purchase of July 14.
Required: Prepare journal entries and, assuming the perpetual inventory system, determine the total amount paid to Jonak Company.
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