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Please help, I will thumb up On March 10, Sugimoto Household Goods sells 2,000 boxes of toothpaste to Wong DDS for $6,000. Sugimoto's cost is
Please help, I will thumb up
On March 10, Sugimoto Household Goods sells 2,000 boxes of toothpaste to Wong DDS for $6,000. Sugimoto's cost is $1 per box. Payment terms are 1/5,n/30. Shipping terms are FOB Destination. On March 14 Wong realizes that the toothpaste they received does not have the Disney characters on the packaging. They specifically ordered the Disney characters for their pediatric patients. Wong contacts Sugimoto, who agrees to give them a $800 allowance. Wong agrees to keep the toothpaste to give away to their adult patients. Prepare the journal entry for Wong to record the allowance. DR: CR: Prepare the journal entry for Sugimoto to record the allowance. DR: CR: Account name examples: Inventory Accounts Receivable Cost of Goods Sold Revenue Sales Returns and Allowances Accounts Payable Cost of Goods Sold Shipping Expense or Freight Expense Loss on Defective MerchandiseStep by Step Solution
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