Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Problem 5-2A (Part Level Submission) Cheyenne Corp. completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of

image text in transcribed
Problem 5-2A (Part Level Submission) Cheyenne Corp. completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Cheyenne Corp. showed Cash of $5,500 and Common Stock of $5,500 May 1 Purchased merchandise on account from Gray's Wholesale Supply 54,200, terms 2/10, 1/30 2 Sold merchandise on account $1,900, terms 1/10, 1/30. The cost of the merchandise sold was $1,600. 5 Received credit from Gray's Wholesale Supply for merchandise returned $350. 9 Received collections in full, less discounts, from customers billed on sales of $1,900 on May 2. 10 Pald Gray's Wholesale Supply in less discount 11Purchased up for cash $400 12 Purchased merchandise for cash $1,200 15 Received refund. for poor quarty merchandise from supplier on cash purchase $200. 17 Purchased merchandise from Amand Distributors $1,100, FOB shipping point, terms 2/10, 30, 19 Paid freight on May 17 purchase $100 24 Sold merchandise for cash $3.500. The merchandise sold had a cost of $2.000 25 Purchased merchandise on account from Horvath, Inc. $700, FOB destination terms 2/10, 30 27 Paid Amand Distributors in fu, les discount 29 Made refunds to cash customers for defective merchandise . The returned merchandise da fair value of $30 31 Sold merchandise on account $1,500, terms 30. The cost of the merchandise sold was $500 126 S N 201 Accounts Payable No. 311 Common Shock Cheyenne Corp. 's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No 110 tnventor, 401 Sales Revenue, No 412 Sales Returns and Allowances, No414 Sales Discounts and No Sos cost of Goods Sold Journize the transactions using a perpetual entory system (Cred accents are automatically indented when u ntisenter. Do not indent away. I no estry required, select "No Entry for the accountries and enter"0" for the amounts Record journal entries in the order to the Powe)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial And Managerial Accounting

Authors: Carl S. Warren, Jefferson P. Jones, William B. Tayler

15th Edition

1337902667, 9781337902663

More Books

Students also viewed these Accounting questions

Question

List, describe, and compare the four measurement scales.

Answered: 1 week ago