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On July 1 0 , 2 0 2 3 , Ivanhoe Ltd . sold GPS systems to retailers on account for a selling price of
On July Ivanhoe Ltd sold GPS systems to retailers on account for a selling price of $cost $ Ivanhoe grants the right to return systems that do not sell in three months following delivery. Past experience indicates that the normal return rate is By October following the collection on account, retailers returned systems to Ivanhoe and were granted credits of $ The company follows ASPE.
a
Prepare Ivanhoe's journal entries to record the sale on July 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. List all debit entries before credit entries.
Date
Account Titles and Explanation
Debit
Credit
July
To record sale on account
July
To accrue for sales returns
July
To record cost of goods sold
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