Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please answer all parts . One question with multiple parts. please include correct information. thank you. Allied Merchandisers was organized on May 1. Macy Co.

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
please answer all parts . One question with multiple parts.
please include correct information.
thank you.
Allied Merchandisers was organized on May 1. Macy Co. is a major customer (buyer) of Allied (seller) products. May 3 Allied made its first and only purchase of inventory for the period on May 3 for 2,eee units at a price of $9 cash per unit (for a total cost of $18,000). 5 Allied sold 1,880 of the units in inventory for $13 per unit (invoice total: $13, eee) to Macy Co. under credit terms 2/10, n/6e. The goods cost Allied $9, eee. 7 Macy returns iee units because they did not fit the customer's needs (invoice amount: $1,3ee). Allied restores the units, which cost $900, to its inventory. 8 Macy discovers that 100 units are scuffed but are still of use and, therefore, keeps the units. Allied sends Macy a credit memorandum for $50e toward the original invoice amount to compensate for the damage. 15 Allied receives payment from Macy for the amount owed on the May 5 purchase; payment is net of returns, allowances, and any cash discount. Allied made its first and only purchase of inventory for the period on May 3 for 2,000 units at a price of $9 cash per unit (for a total cost of $18,000). Note: Enter debits before credits. Date General Journal Debit Credit May 03 Allied sold 1,000 of the units in inventory for $13 per unit (invoice total: $13,000) to Macy Co. under credit terms 2/10, n/60. The goods cost $9,000 to Allied. Note: Enter debits before credits. Date General Journal Debit Credit May 05 Macy returns 100 units because they did not fit the customer's needs (invoice amount: $1,300). Allied restores the units, which cost $900, to its inventory. Note: Enter debits before credits. Date General Journal Debit Credit May 07

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Internal Auditing: Principles And Techniques

Authors: Richard L. Ratliff, W. Wallace, Walter B. Mcfarland, J. Loeboecke

1st Edition

0894131672, 978-0894131677

More Books

Students also viewed these Accounting questions

Question

Explain why GAS technology is popular with most auditors.

Answered: 1 week ago