Presented below are transactions related to Windsor Company.

On December $3,$ Windsor Company sold $$407,000$ of merchandise to Sharif Co$.,$ terms $\frac{2}{10},\frac{n}{30},$ FOB shipping point. The cost of the merchandise sold was $$247,000.$

On December $8,$ Sharif Co$.$ was granted an allowance of $$19,700$ for merchandise purchased on December $3.$

On December $13,$ Windsor Company received the balance due from Sharif Co$.$

$($a$)$

Your Answer

Correct Answer

Your answer is partially correct.

Prepare the journal entries to record these transactions on the books of Windsor Company using a perpetual inventory system. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Record journal entries in the order presented in the problem. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

$\backslash$table$[[$Date$,$Account Titles and Explanation,Debit,Credit$],[$Dec$.3=,$Accounts Receivable,,$],[$Sales Revenue,,$417000],[($To record sales revenue on accol,,$],[Dec3?,$Cost of Goods Sold,$252000,],[$Inventorv$,,],[($To record cost of goods sold$),,],[$Sales Returns and Allowances,$20700,],[$Accounts Receivable,,$20700],[Dec130,$Cash,$388374,],[$Sales Discounts,,$7926],[$Accounts Receivable,,$396300],[$eTextbook and Media$],[$Solution$],[$List of Accounts$],[,,,$pts: $3$ of $3$ used$]]$

$($b$)$

Assume that Windsor Company received the balance due from Sharif Co$.$ on January $2$ of the following year instead of December $13.$ Prepare the journal entry to record the receipt of payment on January $2.($Credit account titles are automatically indented when the amount is entered. Do not indent manually. List debit entry before credit entry. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

Date Account Titles and Explanation Credit

Jan. $2$ Debit