Problem 5 1A Kerns Book Warehouse distributes hardcover books to retail stores and extends credit terms of 1 10, n 30 to all of its customers At the end of May, Kerns inventory consisted of books purchased for $2,400 During June, the following merchandising transactions occurred June 1 Purchased books on account for $2,100 from Binsfeld Publishers, FOB destination, terms 2 10, n 30 The appropriate party also made a cash payment of $60 for the freight on this date 3 Sold books on account to Reading Rainbow for $2,300 The cost of the books sold was $1,600 6 Received $150 credit for books returned to Binsfeld Publishers 9 Paid Binsfeld Publishers in full, less discount 15 Received payment in full from Reading Rainbow 17 Sold books on account to Rapp Books for $1,600 The cost of the books sold was $960 20 Purchased books on account for $1,600 from McGinn Publishers, FOB destination, terms 1 15, n 30 The appropriate party also made a cash payment of $50 for the freight on this date 24 Received payment in full from Rapp Books 26 Paid McGinn Publishers in full, less discount 28 Sold books on account to Baeten Bookstore for $1,300 The cost of the books sold was $970 30 Granted Baeten Bookstore $170 credit for books returned costing $102 Kern's Book Warehouse's chart of accounts includes the following No 101 Cash, No 112 Accounts Receivable, No 120 Inventory, No 201 Accounts Payable, No 401 Sales Revenue, No 412 Sales Returns and Allowances, No 414 Sales Discounts, and No 505 Cost of Goods Sold Journalize the transactions for the month of June for Kerns Book Warehouse using a perpetual inventory system (Credit account titles are automatically indented when amount is entered Do not indent manually Record journal entries in the order presented in the problem )

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Problem 5-1A Kerns Book Warehouse distributes hardcover books to retail stores and extends credit terms of 1/10, n/30 to all of its customers. At the

Problem 5-1A

Kerns Book Warehouse distributes hardcover books to retail stores and extends credit terms of 1/10, n/30 to all of its customers. At the end of May, Kerns inventory consisted of books purchased for $2,400. During June, the following merchandising transactions occurred.

June 1		Purchased books on account for $2,100 from Binsfeld Publishers, FOB destination, terms 2/10, n/30. The appropriate party also made a cash payment of $60 for the freight on this date.
3		Sold books on account to Reading Rainbow for $2,300. The cost of the books sold was $1,600.
6		Received $150 credit for books returned to Binsfeld Publishers.
9		Paid Binsfeld Publishers in full, less discount.
15		Received payment in full from Reading Rainbow.
17		Sold books on account to Rapp Books for $1,600. The cost of the books sold was $960.
20		Purchased books on account for $1,600 from McGinn Publishers, FOB destination, terms 1/15, n/30. The appropriate party also made a cash payment of $50 for the freight on this date.
24		Received payment in full from Rapp Books.
26		Paid McGinn Publishers in full, less discount.
28		Sold books on account to Baeten Bookstore for $1,300. The cost of the books sold was $970.
30		Granted Baeten Bookstore $170 credit for books returned costing $102.

Kern's Book Warehouse's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No. 201 Accounts Payable, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts, and No. 505 Cost of Goods Sold. Journalize the transactions for the month of June for Kerns Book Warehouse using a perpetual inventory system. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)