Question 1 of 2 5.39/11.22 Cullumber Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May. Cullumbers' ledger showed Cash of $8,400 and Common Stock of $8,400. 9 11 May 1 Purchased merchandise on account from Black Wholesale Supply for $8.400, terms 1/10, 1/30. 2 Sold merchandise on account for 54,800, terms 2/10, 1/30. The cost of the merchandise sold was $3,700. 5 Received credit from Black Wholesale Supply for merchandise returned $200. Received collections in full, less discounts, from customers billed on May 2. 10 Paid Black Wholesale Supply in full, less discount Purchased supplies for cash $900. 12 Purchased merchandise for cash $3,400. 15 Received $230 refund for return of poor quality merchandise from supplier on cash purchase. 17 Purchased merchandise from Wilhelm Distributors for $2.800, terms 2/10, 1/30, Paid freight on May 17 purchase $250. Sold merchandise for cash $5,500. The cost of the merchandise sold was $4.100. Purchased merchandise from Clasps Inc. for $800, terms 3/10, 1/30 27 Paid Wilhelm Distributors in full, less discount. 29 Made refunds to cash customers for returned merchandise $118. The returned merchandise had cost $80. 31 Sold merchandise on account for $1.280, terms /30. The cost of the merchandise sold was $830. 19 24 25 Question 1 of 2 > 5.39/11.22 E Journalize the transactions using a perpetual inventory system. (If no entry is required, select "No Entry" for the account titles and enter for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Account Titles and Explanation Debit Credit Date May 1 Inventory 8400 Accounts Payable 840 May 2 Accounts Receivable 4800 Sales Revenue 480 (To record credit sale) Cost of Goods Sold 3700 370 Inventory (To record cost of merchandise sold) Accounts Payable May 5 200 Inventory 20 May 9 Cash 4116 Sales Discounts 84 Accounts Receivable 420 May 10 Accounts Payable 7600 Inventory 7 Cash 752 May 11 Supplies 900 Cash 90 May 12 Inventory 2900 Cash 220 May 15 Cash 230 Inventory 23 May 17 Inventory 2300 Accounts Payable 230 May 19 Inventory 250 Cash 25 May 24 Cash SC Question 1 of 2 5.39/11.22 Sales Revenue 5500 (To record sales) Cost of Goods Sold 4100 4100 Inventory (To record cost of merchandise sold) Inventory May 25 800 Accounts Payable 800 May 27 Accounts Payable 2300 Inventory Cash 2254 May 29 Sales Returns and Allowances 96 Cash 96 (To record payment for returned merchandise) Inventory 96 Cost of Goods Sold 96 (To record cost of goods returned) (To record cost of goods returned) Accounts Recevable May 31 1290 Sales Revenue 1280 (To record credit sale) Cost of Goods Sold 780 Inventory (To record cost of goods sold on account) 780 e Textbook and Media List of Accounts Post the transactions to T-accounts. Be sure to enter the beginning cash and common stock balances. (Post entries in the order of journal entries posted in part (a). Round answers to O decimal places, eg. 5,275.) Cash 5/1 Bal. 5/10 5/9 > 5/11 5/15 5/12 5/24 5/19 5/27 5/29 5/31 > Accounts Receivable 5/2 > 5/9 5/31 5/31 Bal. 5/1 5/2 5/12 5/5 5/17 5/19 5/10 5/25 5/15 5/29 5/31 Supplies 5/19
