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Prepare journal entries for the following merchandising transactions of Powell Company assuming it uses a perpetual inventory system and the gross method May 1 Powell

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Prepare journal entries for the following merchandising transactions of Powell Company assuming it uses a perpetual inventory system and the gross method May 1 Powell purchased merchandise with a price of $945 and credit terms of n/30. May 12 Powell returned merchandise that had a price of $160. May 31 Powell paid the amount due from the May 1 purchase, minus the May 12 return. June 3 Powell sold merchandise for $485, with credit terns n/15Cost of the merchandise is $335. June 5 The customer discovers some of the units are scratched. Powell gives a price reduction (allowance) and credits the customer's accounts receivable for $34 to compensate for the scratches. June 18 Powell received payment for the amount due from the June 3 sale less the June 5 allowance. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 May 1 Record Powell's purchase of merchandise with a price of $945 and credit terms of n/30 Note: Enter debits before credits :X: . May 1 Record Powell's purchase of merchandise with a price of $945 and credit terms of n/30. 2 May 12 Record Powell's returned of merchandise that had a price of $160. 3 May 31 Record Powell's payment of the amount due from the May 1 purchase, minus the May 12 return. 4 June 3 Record Powell's sale of merchandise for $485, with credit terms n/15. 5 June 3 Record the cost of merchandise sold, $335. 6 June 5 The customer discovers some of the units are scratched. Powell aives a price reduction (allowance) and Note : = journal entry has been entered Tuy J1 Luvu Vy ve Puritiu vi vu a vas uuu VI. the May 1 purchase, minus the May 12 return. 4 June 3 Record Powell's sale of merchandise for $485, with credit terms n/15. 5 June 3 Record the cost of merchandise sold, $335. 6 June 5 The customer discovers some of the units are scratched. Powell gives a price reduction (allowance) and credits the customer's abunts receivable for $34 to compensate for the scratches. Record the allowance. 7 June 18 Record the receipt of payment by Powell for the amount due from the June 3 sale less the June 5 allowance. Note insir

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