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Prepare separate entries for each transaction for Swifty Company. The merchandise purchased by Wildhorse on June 10 had cost Swifty $5.200. (Credit account titles are

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Prepare separate entries for each transaction for Swifty Company. The merchandise purchased by Wildhorse on June 10 had cost Swifty $5.200. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) On June 10, Wildhorse Company purchased $8,500 of merchandise on account from Swifty Company, FOB shipping point, terms 2/10,n/30. Wildhorse pays the freight costs of $570 on June 11. Damaged goods totaling $450 are returned to Swifty for credit on June 12. The fair value of these goods is $75. On June 19, Wildhorse pays Swifty Company in full, less the purchase discount. Both companies use a perpetual inventory system. (a) Your Answer Correct Answer Your answer is correct Prepare separate entries for each transaction on the books of Wildhorse Company. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Account Titles and Explanation Date Debit Credit June 10 Inventory 8.500 Accounts Payable 85C June 11 Inventory 570 Cash 57 June 12 Accounts Payable Inventory June 19 Accounts Payable B050 7.BE Prepare separate entries for each transaction for Swifty Company. The merchandise purchased by Wildhorse on June 10 had cost Swifty $5,200. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Accounts Receivable Debit Credit June 10 8,500 Sales Revenue 8,500 (To record credit sale) Cost of Goods Sold June 10 5.200 Inventory 5.200 (To record cost of merchandise sold) Sales Returns and Allowances June 12 450 Accounts Receivable 450 (To record merchandise returned) June 12 Inventory 75 75 Cost of Goods Sold (To record cost of merchandise returned) June 19 Cash 8,330 Sales Discounts 170 Accounts Receivable 8500

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