Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

my work Prepare journal entries to record the following merchandising transactions of Cabela's, which uses the perpetual inventory system and the gross method. Hint It

image text in transcribed

image text in transcribed

my work Prepare journal entries to record the following merchandising transactions of Cabela's, which uses the perpetual inventory system and the gross method. Hint It will help to identify each receivable and payable, for example, record the purchase on July 1 in Accounts Payable-Boden, oped Book Paint erences July 1 Purchased merchandise from Boden Company for $6,780 under credit terms of 2/15, n/30, FOB shipping point, invoice dated July 1. 2 Sold merchandise to Creek Co. for $958 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. The merchandise had cost $558. 3 Paid $130 cash for freight charges on the purchase of July 1. 8 Sold merchandise that had cost $2,000 for $2,400 cash. 9 Purchased merchandise from Leight Co. for $2.7ee under credit terms of 2/15, n/60, FOB destination, invoice dated July 9. 11 Returned $700 of merchandise purchased on July 9 from Leight Co. and debited its account payable for that amount. 12 Received the balance due from Creek Co. for the invoice dated July 2, net of the discount. 16 Paid the balance due to Boden company within the discount period. 19 Sold merchandise that cost $1,200 to Art Co. for $1,80 under credit terms of 2/15, n/50, FOB shipping point, invoice dated July 19. 21 Gave a price reduction (allowance) of $300 to Art Co. for merchandise sold on July 19 and credited Art's accounts receivable for that amount. 24 Paid Leight Co. the balance due, net of discount. 30 Received the balance due from Art Co. for the invoice dated July 19, net of discount. 31 Sold merchandise that cost $5.See to Creek Co. for $7.00 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31. W

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

Maintenance Management Auditing In Search Of Miantenance Management Excellence

Authors: Anthony Kelly

1st Edition

0831132671, 978-0831132675

More Books

Students also viewed these Accounting questions