Problem: Seller's books

Do the Journal Entry on the buyer's perspective

1. On July 10, Siarnese Ket Trading sold tnetvhandise worth P100, 000 COD to Dee Ket Company.

Note: COD means Cash on Delivery or Collect on Delivery. The buyer will pay thefull amount upon delivery of the merchandise.

2. On July 15, Persian Ket Trading sold merchandise to Porket Company for P 150,000 receiving P 20,000 down payment and the balance on account. Terms: 2/10, 1/15, n/60

Note: The terms 2/10, 1/15, n/60 mean that a 2% discount will be given ifpayment of the balance is made within 10 days from July 15; 1% discount will begiven if payment of the balance is made within 15 days; and no discount will begiven if full payment is made beyond 15 days. Net amount (sales price lessreturns and allowances if any) is payable within 60 days.

July 15------July 25July 26- - - - -July 30July 31. - - - -Sept. 13

2% discount1% discountno discount

3, Persian Ket Trading received defective merchandise worth P 10,000 from Porket Company.

4. Persian Ket Trading received a partial payment of P 20,000 from Porket Company.

5. Persian Ket Trading received defective merchandise worth P 10,000 from Dee Ket Company and refunded cash for the returns.

6. Paid P 3,000 transportation charges for merchandise sold to Porket Company

7. Compute for the payment w/in discount period and journalize theReceived payment from Porket Company on July 30

8. On Sept 10, Persian Ket sold merchandise worth P60, 000 to Dee Ket Company on account. Terms: 3/EOM, n/30