Question
Purchase-Related Transactions Journalize entries for the following related transactions of Lilly Heating & Air Company: (If an amount box does not require an entry, leave
Purchase-Related Transactions
Journalize entries for the following related transactions of Lilly Heating & Air Company: (If an amount box does not require an entry, leave it blank.)
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a. Purchased $36,000 of merchandise from Schell Co. on account, terms 2/10, n/30.
blank | Account | Debit | Credit |
---|---|---|---|
blank | Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventoryAccounts Receivable-Schell Co. | Accounts Receivable-Schell Co. | Accounts Receivable-Schell Co. |
Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventoryAccounts Payable-Schell Co. | Accounts Payable-Schell Co. | Accounts Payable-Schell Co. |
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b. Paid the amount owed on the invoice within the discount period.
blank | Account | Debit | Credit |
---|---|---|---|
blank | Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventoryAccounts Payable-Schell Co. | Accounts Payable-Schell Co. | Accounts Payable-Schell Co. |
Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldMiscellaneous ExpenseCash | Cash | Cash | |
Accounts Payable-Schell Co.Accounts Receivable-Schell Co.Cost of Goods SoldMiscellaneous ExpenseInventory | - Select - | - Select - |
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c. Discovered that merchandise with an invoice amount of $7,200 purchased in (a) was defective and returned items, receiving credit.
blank | Account | Debit | Credit |
---|---|---|---|
blank | Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventory | - Select - | - Select - |
Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventory | - Select - | - Select - |
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d. Purchased $5,500 of merchandise from Schell Co. on account, terms n/30.
blank | Account | Debit | Credit |
---|---|---|---|
blank | Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventory | - Select - | - Select - |
Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventory | - Select - | - Select - |
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e. Received a refund from Schell Co. for return in (c) less the purchase in (d).
blank | Account | Debit | Credit |
---|---|---|---|
blank | Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventory | - Select - | - Select - |
Accounts Payable-Schell Co.Accounts Receivable-Schell Co.CashCost of Goods SoldInventory | - Select - | - Select - |
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