Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help! thank you a. Provide what the Journal Entries would look like ONLY for the selected events (7 worth 2 points each) b. Provide

please help! thank you image text in transcribed
image text in transcribed
a. Provide what the Journal Entries would look like ONLY for the selected events (7 worth 2 points each) b. Provide what the T-Accounts would look like ONLY for the selected events (7 worth 2 points each) Event 1: TEST acquired $20,000 cash by issuing common stock. Event 2: TEST paid $8,000 cash to purchase land for a place to locate a future store. Event 3: TEST purchased on account merchandise inventory with a list price of $20,000. Event 4: TEST returned some of the inventory purchased in Event 3. The list price of the returned merchandise was $1,750. Event 5a: TEST recognized $30,000 revenue on the sale on account of merchandise that cost $15,500. Event 5b: TEST recognized $15,500 of cost of goods sold. Event 6: The shipping terms for the inventory purchased in Event 3 were FOB shipping point. TEST paid the freight company $690 cash for delivering the merchandise. Event 7: TEST received cash discount on goods in Event 3. The credit terms were 2/10, n/30. Event 8: TEST paid the $17,885 balance due on the account payable. Event 9: TEST sold the land that had cost $8,000 for $9,300 cash. Event 10a: A customer returned inventory (bought on account) with a price of $2,300 and merchandise had cost Test $1,250. Event 10b: The cost of the goods ($1,250) is returned to the inventory account Event 11: TEST received $7,000 cash in advance from Pay company for services that will be performed in the following year. Event 12: TEST took a physical count of its inventory and found $3,000 of inventory on hand

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

Getting Clinical Audit Right To Benefit Patients

Authors: Healthcare Quality

1st Edition

1873543069, 978-1873543061

More Books

Students also viewed these Accounting questions

Question

Organizing Your Speech Points

Answered: 1 week ago