Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On I July 2020, Jordan Co., sells inventory on account to Polo Company for $1,000 terms 2/10, n/30.The cost of the inventory is $800. On

On I July 2020, Jordan Co., sells inventory on account to Polo Company for $1,000 terms 2/10, n/30.The cost of the inventory is $800. On July 5, Polo returns inventory of $100 to Jordan Co. The cost to Jordan is $80. What should be the journal entry torecordthe sales returns in the book of Jordan Co. if it uses Perpetual inventory system?

Select one:

a.Sales revenue100

Accounts receivable 100

Inventory 80

COGS80

b.Sales returns and allowances 100

Accounts receivable100

COGS80

Inventory80

c.Accounts receivable100

Sales revenue100

COGS80

Inventory80

d.Sales returns and allowances 100

Accounts receivable100

Inventory 80

COGS80

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

Accounting Information Systems

Authors: George H Bodnar, William S Hopwood

10th Edition

013609712X, 978-0136097129

More Books

Students also viewed these Accounting questions