Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
On June 10. Blossom Gifts purchased E9,000 of merchandise from Ayayai Designs. FOB shipping point. terms 1/10, n/30. Blossom pays the freight costs of 490
On June 10. Blossom Gifts purchased E9,000 of merchandise from Ayayai Designs. FOB shipping point. terms 1/10, n/30. Blossom pays the freight costs of 490 on June 11 . Damaged goods totaling E300 are returned to Ayayai for credit on June 12 . The net realizable value of these goods is 70. On June 19 . Blossom pays Ayayai in full, less the purchase discount. Both companies use a perpetual inventory system. Prepare separate entries for each transaction for Ayayai. The merchandise purchased by Blossom on June 10 had cost Ayayai 4,600. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started