Question
Preparing journal entries for merchandising activities-perpetual system LO P1, P2 July 1 Purchased merchandise from Boden Company for $6,700 under credit terms of 2/15, n/30,
Preparing journal entries for merchandising activities-perpetual system LO P1, P2
July | 1 | Purchased merchandise from Boden Company for $6,700 under credit terms of 2/15, n/30, FOB shipping point, invoice dated July 1. |
2 | Sold merchandise to Creek Co. for $950 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. The merchandise had cost $558. | |
3 | Paid $135 cash for freight charges on the purchase of July 1. | |
8 | Sold merchandise that had cost $2,000 for $2,400 cash. | |
9 | Purchased merchandise from Leight Co. for $2,900 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9. | |
11 | Received a $900 credit memorandum from Leight Co. for the return of part of the merchandise purchased on July 9. | |
12 | Received the balance due from Creek Co. for the invoice dated July 2, net of the discount. | |
16 | Paid the balance due to Boden Company within the discount period. | |
19 | Sold merchandise that cost $1,000 to Art Co. for $1,500 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19. | |
21 | Issued a $250 credit memorandum to Art Co. for an allowance on goods sold on July 19. | |
24 | Paid Leight Co. the balance due after deducting the discount. | |
30 | Received the balance due from Art Co. for the invoice dated July 19, net of discount. | |
31 | Sold merchandise that cost $5,500 to Creek Co. for $7,100 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31. |
Prepare journal entries to record the above merchandising transactions of Blink Company, which applies the perpetual inventory system.
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