Problem 8.5A (Algo) Posting purchases and cash payment transactionsLO 8-3,8-48-5

Innovative Medical Devices is a medical devices wholesaler that commenced business on June 120X1The company purchases merchandise for cash and on open accountIn June 20X1Innovative Medical Devices engaged in the following purchasing and cash

payment activities

DATE June 1, 20x1

TRANSACTIONS Issued Check 101 to purchase merchandise, $4,500.

June 5

2011 Purchased merchandise for $1,700 from BioMaps Incorporated, Invoice 605; terms 2/10, n/30. 20x1 Purchased merchandise for $3,850, plus a freight charge of $110, frow New Concepts Corporation, Invalce 1011) teres 2/10, n/30. June 9, 20X1 Paid amount due to BloMaps Incorporated for purchase of June 3, less discount, Check 102.

June 3,

June 11, June 14,

June 10, 20X1 Received Credit Memorandum 227 from New Concepts Corporation for damaged merchandise totaling $150 that was returned; the goods were purchased on Invoice 1011, dated June 5. 2001 Purchased merchandise for $1,600 from Biottaps Incorporated, Invoice 012; terms 2/10, n/30. 2001 Paid amount due to New Concepts Corporation for Invoice 1911 of June 5less the return of June 10 and less the cash discount, Check 103. June 15, 20x1

June 20, June 25,

Purchased merchandise with a list price of $9,200 and trace discounts of 20 and 15 percent from Pang Besearch, Invoice 1029teres n/50. 2011 Issued Check 104 to purchase merchandise, $3,000. 20x1 Returned merchandise purchased on June 20 as defective, receiving a cash refund of $200. June 30, 20x1 Purchased merchandise for $1,200plus a freight charge of $85from New Concepts CorporationInvoice 1059term

Required:

2/10, n/30.

20Post the transactions to the appropriate accounts in the general ledger26Post the transactions to the appropriate accounts in the accounts payable ledger,

3Prepare a schedule of accounts payable at June 3020X1

GENERAL LEDGER ACCOUNTS

101

201

502

503

504

Cash, $37,400 Debit Accounts Payable

Purchases

Purchases Returns and Allowances

Purchases piscounts

Freight In

ACCOUNTS PAYABLE LEDGER ACCOUNTS

4

Problem 8.5A (Algo) Posting purchases and cash payment transactions. LO 8-3, 8-4, 8-5 Innovative Medical Devices is a medical devices wholesaler that commenced business on June 1, 20X1. The company purchases merchandise for cash and on open account. In June 20X1, Innovative Medical Devices engaged in the following purchasing and cash payment activities: DATE TRUSACTIOAS June 1, 201 Issued Check 101 to purchase merchandise, $4,500. June 3, 20x1 Purchased erchandise for $1,700 from biomaps Incorporated, Invoice 606; teras 2/10,n/3e. June 5, 2ex1 Purchased merchandise for $5,850, plus a freight charge of $110, from New Concepts Corporation, Invoice 1e11; terms 2/16,n/30. June 9, 2ex1 Paid anount due to Biollaps Incorporated for purchase of June 3, 1ess discount, Check 102. June 10, 2ex1 Received Credit Menorandun 227 from Mew Concepts Corporation for domoged nerchandise totaling $150 that was returned; the goods were purchased on Invoice 1011, dated June 5. June 11,20x1 Purchased merchandise for $1,680 from Bioflaps Incorporated, Imoice 612 ; terns 2/10,n/30. June 14, 20x1 Pald abount due to New Concepts Corporation for Invoice 1011 of June 5 , 1ess the return of June 10 and less the cash discount, Check 103. June 15, 20x1 Purchased merchandise with a 1ist price of $9,200 and trade discounts of 20 and 15 percent from Pang Research, Invoice 1029, terns n/39. June 20,201 Issued Check 104 to purchase merchandise, $3,000. June 25,201 Returned merchandise purchased on June 20 as defective, receiving a cash refund of $280. June 30, 20x1 Purchased eerchandise for $3,200, plus a frelght charge of $85, froe Mew Concepts Corporation, Invoice 10se; terms 2/10,n/30. Required: 20. Post the transactions to the appropriate accounts in the general ledger: 2b. Post the transactions to the appropriate accounts in the accounts payable ledger. 3. Prepare a schedule of accounts payable at June 30,201 GENERAL LEDGER ACCOUNTS 101 Cash, 537,400 Debit 201 Accounts Payable 501 Purchases 502 Purchases Returns and Allowances ses Purchases Discounts 504 Freight in Analyze: What was the amount of merchandise retumed to vendors by Innovative Medical Devices in June? Complete this question by entering your answers in the tabs below. Post the transactions to the appropriate accounts in the general ledger