Purchased merchandise on account from Moonlight Co., list price $94,000, trade discount 25%, terms Nov. FOB destination, 2/10, n/30. Sold merchandise for cash, $35,040. The cost of the goods sold Purchased merchandise on account from Papoose Creek Co., $50,800, terms FOB shipping.point 4 was $20,610. 2/10, n/30, with prepaid freight of $850 added to the invoice. 6 Returned $12,000 ($16,000 list price less trade discount of 25%) of merchandise purchased on November 3 from Moonlight Co. 8 Sold merchandise on account to Quinn Co., $14,030 with terms n/15. The cost of the goods sold was $9,130 Paid Moonlight Co. on account for purchase of November 3, less return of November 6 13 Sold merchandise on VISA, $243,720. The cost of the goods sold was $148,260. 14 15 Paid Papoose Creek Co. on account for purchase of November 5. Received cash on account from sale of November 8 to Quinn Co. 23 Sold merchandise on account to Rabel Co., S52,500, terms 1/10, n/30. The cost of the goods sold was $36,660 Paid VISA service fee of $3,750 28 30 Paid Quinn Co. a cash refund of $6,510 for returned merchandise from sale of November 8. The cost of the returned merchandise was $3,450. 24 CHART OF ACCOUNTS Babcock Company General Ledger ASSETS REVENUE 410 Sales 110 Cash 121 Accounts Receivable-Quinn Co. 610 Interest Revenue 122 Accounts Receivable-Rabel Co. EXPENSES 125 Notes Receivable 510 Cost of Goods Sold 130 Inventory 521 Delivery Expense 131 Estimated Returns Inventory 522 Advertising Expense 140 Office Supplies 524 Depreciation Expense-Store Equipment 141 Store Supplies 525 Depreciation Expense-Office Equipment 142 Prepaid Insurance 526 Salaries Expense 180 Land 531 Rent Expense 192 Store Equipment 533 Insurance Expense 193 Accumulated Depreciation-Store Equipment 534 Store Supplies Expense 194 Office Equipment 535 Office Supplies Expense 195 Accumulated Depreciation-Office Equipment 536 Credit Card Expense 539 Miscellaneous Expense LIABILITIES LIABILITIES 211 Accounts Payable-Moonlight Co. 212 Accounts Payable-Papoose Creek Co 216 Salaries Payable 218 Sales Tax Payable 219 Customer Refunds Payable 221 Notes Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends 313 Income Summary Score: 152/426 JOURNAL ACCOUNTING EQUATION POST, REF. DATE DESCRIPTION DEBIT CREDIT ASSETS LIABILITIES EQUITY 69,090.00 Nov. 3 Inventory 1 Accounts Payable-Moonlight Co. 69,090.00 Nov. 4 35,040.00 Cash 35,040.00 Sales 4 Cost of Goods Sold Nov, 4 20,610.00 20,610.00 Inventory Nov. 5 Inventory 50,634.00 Accounts Payable-Papoose Creek Co. 50,634.00 Nov. 6 11,760.00 Accounts Payable-Moonlight Co. 11,760.00 Inventory 10 Nov. 8 Cost of Goods Sold 9,130.00 11 9,130.00 Inventory 12 Nov. 13 17 14 15 16 17 18 15 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34