Mar. 1 2 3 Sheridan Wholesalers uses a perpetual inventory system Stellar Stores purchases $9,400 of merchandise for resale from Sheridan Wholesalers, terms 2/10, 1/30. FOB shippines point The correct company pays $165 for the shipping charges Stellar returns $1,200 of the merchandise purchased on March 1 because it was the wrong colour, Sheridan gives Stellar a $1.200 credit on its account. Stellar Stores purchases an additional $14,000 of merchandise for resale from Sheridan Wholesalers, terms 2/10, 1/30 FOB destination The correct company pays $195 for freight charges Stellar returns $600 of the merchandise purchased on March 21 because it was damaged. Sheridan given Stellara 5600 credit on its account. 30 Stellar paid Sheridan the amount owing for the merchandise purchased on March 1. Stellar paid Sheridan the amount owing for the merchandise purchased on March 21 21 22 23 31 Additional information: Mar. 1 3 Sheridan's cost of the merchandise sold to Stellar was 54.000. Sheridan's cost of the merchandise returned by Stellar was $511. As the merchandise was not damaged, it was returned to Sheridan's inventory. Sheridan's cost of the additional merchandise sold to Stellar Stores was $5,957. Sheridan's cost of the merchandise returned by Stellar was $255. As the merchandise was damaged, it was put in the recycling bin 21 23 Prepare Sheridan Wholesalers journal entries to record the sales transactions with Stellar. Remember to record the freight and cash receipt transactions as appropriate (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit Calculate Sheridan's net sales, cost of goods sold, and gross profit for these sales. Net sales $ Cost of goods sold Gross profit Mar 1 2 3 Sherican Wholesalers uses a perpetual inventory system Stellar Stores purchases $9.400 of merchandise for resale from Sheridan Wholesalers, termes 2/10, 1/30, FOB shipping point The correct company pays $165 for the shipping charges Stellar returres $1,200 of the merchandise purchased on March 1 because it was the wrong colour. Sheridas gives Stellar a $1.200 credit on its account Stellar Stores purchases an additional $14,000 of merchandise for resale from Sheridan Wishesaders, termo: 2/10.1030 Fou destination The correct company pays $195 for freight charge Stellar returns $600 of the merchandise purchased on March 21 because it was damaged. Sheridan gives Stellara 5600 credit on its account Stellar paid Sheridan the amount owing for the merchandise purchased on March 1 Stellar paid Sheridan the amount owing for the merchandise purchased on March 21 21 22 23 30 31 Additional information: Mar. 1 3 Sheridan's cost of the merchandise sold to Stellar was $4,000. Sheridan's cost of the merchandise returned by Stellar was $511. As the merchandise was not damaged, it was returned to Sheridan's inventory Sheridan's cost of the additional merchandise sold to Stellar Stores was $5,957. Sheridan's cost of the merchandise returned by Stellar was $255. As the merchandise was damaged, it was put in the recycling bin. 21 23 Prepare Sheridan Wholesalers journal entries to record the sales transactions with Stellar. Remember to record the freight and cash receipt transactions as appropriate. (Credit account tites are automatically indented when the amount is entered. Do not indent manually. I no entry is required, select "No Entry for the account titles and enter for the amounts. Record journal entries in the order presented in the problem) Date Account Titles and Explanation Debit Credit Date Account Titles and Explanation Debit Credit (To record sales on account) (To record cost of goods sold.) (To record credit for goods returned.) SA C (To record sales on account.) (To record cost of goods sold.) (Cash payment for freight costs.) (To record credit for goods returned) 1851A Mar. 31 (Collection on account.) Calculate Sheridan's net sales, cost of goods sold, and gross profit for these sales, Net sales Cost of goods sold $ Gross profit
