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PROBLEM 5-1 The following transactions were selected from among those completed by the Bowman Company during September of the current year: Sept. 3 Purchased merchandise
PROBLEM 5-1 The following transactions were selected from among those completed by the Bowman Company during September of the current year: Sept. 3 Purchased merchandise on account from Axel Co., list price $10,000, trade discount 15%, terms FOB destination, 1/10, n/30. 4 Purchased office supplies for cash, $800. 6 Sold merchandise on account to Hart Co., list price $5,000, trade discount 20%, terms 2/10, n/30. The cost of merchandise sold was $3,000. . 7 Returned $2,000 of the merchandise purchased on September 3 from Axel Co. 10 Purchased merchandise for cash, $5,000. 12 Sold merchandise to customers using American Express, $5,500. The cost of merchandise sold was $3,200. 13 Paid Axel Co, on account for purchase of September 3, less return of September 7 and discount. 16 Received cash on account from sale of September 6 to Hart Co., : less discount. 20 Paid $300 service fee for credit card sales of September 12. 24 Sold merchandise to Wilcox Co., $3,000, terms 1/10, n/30. The cost of merchandise sold was $1,750. 26 Sold merchandise for cash, $2,200. The cost of merchandise sold I was $1,400. 30 Received merchandise returned by Wilcox Co. from sale on September 24, $1,000. The cost of the merchandise returned was $600. Instructions: Journalize the transactions for the Bowman Co., using the jour- nal forms provided below and on the following pages: =" -- "W-=- =-=-=-=-=---ass- PAGE CREDIT DEBIT POST REF. JOURNAL DESCRIPTION
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