PLEASE HELP ASAP. ANSWERS ONLY.
Required information C6-2 (Algo) Preparing Journal Entries for Inventory Purchases, Sales, Returns, and (Gross Method) Discounts, and Adjusting Income Tax (Chapters 4 and 6) (LO 6-3, LO 6-4, LO 6-6, LO 6-S1) (The following information applies to the questions displayed below.) a. On October 1, the Business Students' Society (BSS) placed an order for 160 golf shirts at a unit cost of $30, under terms 2/10, n/30. b. The order was received on October 10, but some golf shirts differed from what had been ordered. Uncertain whether the shirts would be returned or kept, BSS decided to record any purchase discount only when taken (using the gross method). c. On October 11, 40 golf shirts were returned to the supplier. d. On October 12, BSS complained the remaining golf shirts were slightly defective so the supplier granted a $100 allowance. e. BSS paid for the golf shirts on October 13. f. During the first week of October, BSS received student and faculty orders for 120 golf shirts, at a unit price of $66, on terms 2/10, n/30. g. The golf shirts were delivered to these customers on October 18. Unfortunately, customers were unhappy with the golf shirts, so BSS permitted them to be returned or given an allowance (see hand I). Uncertain whether customers would keep or return the shirts, BSS decided to record any sales discount only when taken (using the gross method). h. On October 19, one-half of the golf shirts were returned by customers to BSS. i. On October 20, an allowance was given on account equal to $18.00 per shirt for the remaining 60 shirts. j. The customers paid their remaining balances on the last day of the month, October 31. C6-2 (Algo) Part 1 View transaction list Journal entry worksheet Record the placement of the order for golf shirts. Note: Enter debits before credits. Date General Journal Debit Credit October 01 4,800 Inventory Accounts Payable 4,800 Record entry Clear entry View general journal View transaction list Journal entry worksheet Record the inventory purchased on account. Note: Enter debits before credits. Date General Journal Debit Credit October 10 Record entry Clear entry View general journal View transaction list Journal entry worksheet 2 3 4 5 6 7 8 ..... 11 Record the return of the damaged inventory. Note: Enter debits before credits. Date General Journal Debit Credit October 11 Record entry Clear entry View general journal View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 IULUI 11 Record the allowance received for the defective inventory purchased. Note: Enter debits before credits. Date General Journal Debit Credit October 12 Record entry Clear entry View general journal View transaction list Journal entry worksheet Record the payment in full. Note: Enter debits before credits. Date General Journal Debit Credit October 13 Record entry Clear entry View general journal View transaction list Journal entry worksheet Record the sales revenue on account for the order. Note: Enter debits before credits. Date General Journal Debit Credit October 18 Record entry Clear entry View general journal View transaction list Journal entry worksheet
