Question
On June 10, Wildhorse Co. purchased $6,700 of merchandise on account from Bridgeport Company, FOB shipping point, terms 1/10, n/30. Wildhorse Co. pays the freight
On June 10, Wildhorse Co. purchased $6,700 of merchandise on account from Bridgeport Company, FOB shipping point, terms 1/10, n/30. Wildhorse Co. pays the freight costs of $510 on June 11. Damaged goods totaling $500 are returned to Bridgeport for credit on June 12. The fair value of these goods is $80. On June 19, Wildhorse Co. pays Bridgeport Company in full, less the purchase discount. Both companies use a perpetual inventory system.
*Please help! I am unsure where I am going wrong with my account titles. I have tried both options, both are wrong*
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Your answer is partially correct. Try again. Prepare separate entries for each transaction on the books of Wildhorse Co.. (Credit account titles indented when amount is entered. Do not indent manually. If no entry is required, select " account titles and enter o for the amounts. Record journal entries in the order presented in Debit Credit Date Account Titles and Explanation June 10 | Inventory 6700 Accounts Payable 700 June 11 freight Freight-In Freight-Out une 12 - Accounts Payable Inventory T June 19 Accounts Payable I Cash 6138 discou Purchase Discounts SHOW LIST OF Sales DiscountsStep by Step Solution
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