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Littleton Books has the following transactions during May. May 2 Purchases books on account from Readers Wholesale for $3,700, terms 2/10, n/30. May 3 Pays
Littleton Books has the following transactions during May.
May 2 | Purchases books on account from Readers Wholesale for $3,700, terms 2/10, n/30. |
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May 3 | Pays cash for freight costs of $240 on books purchased from Readers. |
May 5 | Returns books with a cost of $350 to Readers because part of the order is incorrect. |
May 10 | Pays the full amount due to Readers. |
May 30 | Sells all books purchased on May 2 (less those returned on May 5) for $4,400 on account. |
Exercise 6-9 (Algo) Part 2
2. Assume that payment to Readers is made on May 24 instead of May 10. Record this payment. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
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