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Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method Apr. 2.
Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method Apr. 2. Purchased $5.600 of merchandise from Lyon Company with credit terms of 2/15, 1/68, invoice dated April 2, and FOB shipping point. 3 Paid $350 cash for shipping charges on the April 2 purchase. 4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $100 17 Sento check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. 18 Purchased $10,500 of merchandise from Frist Corp. with credit terns of 1/10, 1/30, Invoice dated April 18, and Fog destination 21 After negotiations, received from Frista $500 allowance toward the 310,500. owed on the April 18 purchase. 26 Sent ched to Frist paying for the April 16 purchase, net of the allowance and the discount. No General Journal Debit Credit 1 Apr 02 Merchandise inventory Accounts payable Lyon 5,600 5,600 2 Apr 03 Merchandise inventory Cash 350 350 3 Apr 04 Accounts payable Lyon Merchandise inventory 800 800 4 Apr 17 Accounts payable-Lyon Merchandise inventory Cash 5 Apr 18 Merchandise inventory Accounts payable-Frit 10,500 10,500 6 Apr 21 Accounts payable-Frist Merchandise Inventory 7 Apr 28 Accounts payablo-Frist Accounts payable --Lyon 5,600 2 Apr 03 350 Merchandise inventory Cash 350 3 Apr 04 800 Accounts payable--Lyon Merchandise inventory 800 Apr 17 Accounts payable - Lyon Merchandise inventory Cash 5 Apr 18 Merchandise inventory Accounts payable Frist 10,500 10,500 6 Apr 21 Accounts payable-Frist Merchandise inventory 7 Apr 28 Accounts payable--Frist Merchandise Inventory Cash
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