Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Modern Electronics Company purchases merchandise inventory from several suppliers. On April 1, 2020, Modern Electronics purchased from Speedy Supplies $80,000 of inventory on account. On

Modern Electronics Company purchases merchandise inventory from several suppliers. On April 1, 2020, Modern Electronics purchased from Speedy Supplies $80,000 of inventory on account. On May 15, 2020, Modern Electronics sold inventory to a Jones Apartment Complex for $60,000 cash, which included $50,000 COGS for the inventory. On June 15, 2020 Modern Electronics remitted the applicable PST and GST or HST. Use the PST, GST, and HST rates in Exhibit 10.6. Required: Journalize Modern Electronics Company transactions on April 1, 2020, May 15, 2020 and June 15, 2020, including applicable PST and GST or HST assuming it is located in: a. Ontario b. British Columbia c. Alberta Part a. Modern Electronics is located in Ontario View transaction list Journal entry worksheet < 2 3 4 Record the purchase of inventory on credit plus applicable ITC. View transaction list Journal entry worksheet < 1 3 Record the cash sales plus applicable Sales tax. Note: Enter debits before credits. Date May 15, 2020 General Journal Debit Credit Record entry Clear entry View general journal Part a. Modern Electronics is located in Ontario View transaction list Journal entry worksheet 1 2 3 4 Record the cost of sales. Note: Enter debits before credits. Date May 15, 2020 General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet < 1 2 3 4 Record the refund of applicable Sales tax from Receiver General for Canada. Note: Enter debits before credits. Date June 15, 2020 General Journal Debit Credit Record entry Clear entry View general Journal 3 Part b. Modern Electronics is located in British Columbia View transaction list Journal entry worksheet < 1 2 3 4 5 Record the purchase of Inventory on credit plus applicable ITC. Note: Enter debits before credits. Date April 01, 2020 General Journal Debit Credit Part c. Modern Electronics is located in Alberta View transaction list Journal entry worksheet 2 3 4 Record the purchase of Inventory on credit plus applicable ITC. Note: Enter debits before credits. Date April 01, 2020 General Journal Debit Credit Record entry Clear entry View general journal

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

Step: 3

blur-text-image

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

Cima Learning System Management Accounting Performance Evaluation Edition

Authors: Robert Scarlett

4th Edition

0750684305, 978-0750684309

More Books

Students also viewed these Accounting questions

Question

Understand what a service-oriented culture is.

Answered: 1 week ago

Question

Explain the key areas in which service employees need training.

Answered: 1 week ago