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Oriole Publishers sells textbooks to universities across Canada. On July 10, 2021, Oriole entered into a contract with Hinton University to supply 360 accounting textbooks
Oriole Publishers sells textbooks to universities across Canada. On July 10, 2021, Oriole entered into a contract with Hinton University to supply 360 accounting textbooks at a price of $106 per book to be paid on September 25, 2021. The books cost Oriole $79 each. Oriole's return policy states that any unsold books can be returned within 90 days of delivery. The books were delivered on August 25, 2021. Oriole estimates returns at 10% of sales. Hinton returns 12 books on September 15, 2021, and 24 books on September 30, 2021 Determine the transaction price. Transaction price $ On what date should revenue be recognized? Revenue should be recognized on Prepare all journal entries required by Oriole to record the transactions with Hinton University. (Credit account titles are automatically indented when the 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 for the amounts.) Date Account Titles and Explanation Debit (To record sales on account.) August 25, 2021 (To record cost of goods sold.)
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