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Presented below are selected transactions for Flint Company during September and October of the current year. Flint uses a perpetual inventory system. Sept. 1
Presented below are selected transactions for Flint Company during September and October of the current year. Flint uses a perpetual inventory system. Sept. 1 2 5 15 Purchased merchandise on account from Hillary Company at a cost of $48,000, FOB destination, terms 1/15, n/30. The correct company paid $2,000 of freight charges to Trucking Company on the September 1 merchandise purchase. Returned for credit $2,400 of damaged goods purchased from Hillary Company on September 1. Sold the remaining merchandise purchased from Hillary Company to Irvine Company for $114,000, terms 2/10, n/30, FOB destination. 16 The correct company paid $1,900 of freight charges on the September 15 sale of merchandise. 17 17 25 25 30 Oct. 1 2 3 Issued Irvine Company a credit of $6,000 for returned goods. These goods had cost Flint Company $2,400 and were returned to inventory. Received the balance owing from Irvine Company for the September 15 sale. Paid Hillary Company the balance owing for the September 1 purchase. Purchased merchandise on account from Kimmel Company at a cost of $61,000, terms 2/10, n/30, FOB shipping point. The correct company paid freight costs of $1,100 on the October 1 purchase. Obtained a purchase allowance of $2.500 from Kimmel Company to compensate for some minor damage to goods
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