Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ly 2) Sold merchandise to Creek Co. for $900 under edit terms of 2/10, n/60, FOB shipping point, invoice ted July 2 Increases net income

image text in transcribed
image text in transcribed
image text in transcribed
ly 2) Sold merchandise to Creek Co. for $900 under edit terms of 2/10, n/60, FOB shipping point, invoice ted July 2 Increases net income 900 dly 2) The cost of the merchandise sold to Creek Co. Decreases net income (500) as $500 ly 3) Paid $125 cash for freight charges on the rchase of July 1 No impact on income uly 8) Sold merchandise for $1,700 cash. Increases net income 1,700 uly 8) The cost of the merchandise sold was $1,300.Decreases net income (1,300) uly 9) Purchased merchandise from Leight Co. for 2,200 under credit terms of 2/15, n/60, FOB destination,No impact on income voice dated July 9 0 uly 11) Received a $200 credit memorandum from eight Co. for the return of part of the merchandise No impact on income urchased on July 9. uly 12) Received the balance due from Creek Co. for Decreases net income(.200) he invoice dated July 2, net of the discount. uly 16) Paid the balance due to Boden Company within No impact on income he discount period uly 19) Sold merchandise to Art Co. for $1,200 under credit terms of 2/15, n/60, FOB shipping point, invoice Increases net income 1,200 dated July 19 July 19) The cost of the merchandise sold to Art Co. was $800 ecreases net income Decreases net income (100) No impact on income C Decreases net income (2,600) Increases net income 7,000 Decreases net income (4.800) (800) July 21) Issued a $100 credit memorandum to Art Co. for an allowance on goods sold on July 19. July 24) Paid Leight Co. the balance due, net of discount. July 30) Received the balance due from Art Co. for the invoice dated July 19, net of discount. July 31) Sold merchandise to Creek Co. for $7,000 under credit terms of 2/10, n/60, FOB shipping point invoice dated July 31 July 31) The cost of the merchandise sold to Creek Co. was $4,800 Total gross profit (500) Prev1 of 1 Next

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Frank Woods Business Accounting

Authors: Frank Wood, Alan Sangster

9th Edition

0273655523, 9780273655527

More Books

Students also viewed these Accounting questions