On June $3,$ Skysong Compary sold to Chester Company merchandise having a sale price of $$2,900$ with terms of $\frac{4}{10},$ n$/60,$ fa$.$b$.$

shipping point. An invoice totalling $$98,$ terms n$/30,$ was received by Chester on June $8$ from Jahn Booth Transport Service for the

freight cost. On June $12,$ the company received a check for the balance due from Chester Company.

$($a$)$

Your answer is correct.

Prepare journal entries on the Skysong Company books to record all the events noted above under each of the following bases.

$(1)$ Sales and receivables are entered at gross selling price.

$(2)$ Sales and receivables are entered at net of cash discounts.

$($f$)$ no entry is required, select $"No$ Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented

when the amount is entered. Do not indent manually. List all debit entries before credit entries. Record joumol antries in the arder

presented in the problem.$)$

eTextbook and Media

List of Accounts

Attempts: $1$ of $3$ used

$($b$)$

Prepare the journal entry under basis $2,$ assuming that Chester Company did nat remit paryment until Jully $29.($ff no entry is

required, select $"$No Entry" for the account tities and enter $O$ for the amounts. Credit account tities are outomatically indented when the

amount is entered. Do not indent manuathy, List all debit entries before credit entries.$)$

Date Account Titles and Explanation

Debit

Credit

July $29$