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Problem 7-7A Callahan Distributors, which uses the perpetual inventory system and makes all credit sales Using all the journals, postirn on terms of 1/10, n/30,

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Problem 7-7A Callahan Distributors, which uses the perpetual inventory system and makes all credit sales Using all the journals, postirn on terms of 1/10, n/30, completed the following transactions during July: balancing the ledgers Jul. 2 Issued invoice no. 913 for sale on account to Ishikawa Inc., $24,600. Callahan's cost of this inventory was $10,800. Credit sales terms are 6.Total Accounts Receivable $2,976; total Accounts Paya 26,152 1/10, n/30. Purchased inventory on credit terms of 3/10, n/60 from Nakkach Corp., $14,802. The invoice was dated July 3. Sold inventory for cash, $6,462 (cost, $2,880). Issued cheque no. 532 to purchase furniture for cash, $13,110. Collected interest revenue of $6,650. Issued invoice no. 914 for sale on account to Bell Ltd., $33,300 (cost, $13,860). Credit sales terms are 1/10, n/30. Purchased inventory for cash, $6,858, issuing cheque no. 533. Received cash from Ishikawa Inc. in full settlement of its account receiv able from the sale on July 2 Issued cheque no. 534 to pay Nakkach Corp, the net amount owed from July 3. (Round to the nearest dollar.) Purchased supplies on account from Manley Inc, $8,646. Terms were net end of month. The invoice was dated July 13. Sold inventory on account to M. O. Brown, issuing invoice no. 915 for $3,990 (cost, $1,440). Credit sales terms are 1/10, n/30. Issued credit memo to M. O. Brown for $3,990 for merchandise sent in error and returned by Brown. Also accounted for receipt of the inventory Issued invoice no. 916 for credit sale to Ishikawa Inc., $2,142 (cost, $762). Credit sales terms are 1/10, n/30 10 12 13 13 15 17 18 Chapter 7 Accounting Information Systems

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