Question 1

The followire merchandbe transactions ocurred in brusry vance Companyies a perpetual mentory system and the contract based approach to revenue recognition. Ivanhoe Company has a stated policy that alles we finalno return or changes t Dec 3 Ivanhoe Company sold merchandise to Thomas Co for $30.000 terms 2/10.20. FO destination. This merchandise cost Ivanhoe Company $16.800 4 The correct company paid Freight charges of 5710 B Ivanhoe Company sold merchandise to Frito Warehouse Store for $13.500 terms 2/10,1V30. Foshipping point. The merchandise cost Ivanhoe Company $7.0020 9 The correct company id freight curges of $100 13 Ivanhoe Company received the balance de from Thomas Co. 29 Ivanhoe Company received the balance due from Frito Warehouse Store Prepare the journal entries to record these transactions on the books of Ivanhoe Company. (Credit account title ore automatically Indented when the amount is entered. Do not indere manually. If no entry is required, select "No Entry for the merand enter for the amounts. Record journal entries in the order presented in the problem Date Account Titles and Explanation Debit Credit (To record sales on account) To record cost of goods sold Cash payment for freight costs To record sales on account 12:07 PM To record cost of goods sold) Dec 13 (Collection on account Collection on account List of Accounts Assuring that Ivanhoe Company had a balance in Merchandise inntry on December of 535.100 the balance in the Merchandiserary account at the end of December for Ivanhoe Company Post entries in the order of journal entries presented in the previous Merchandise Inwestory 12:08 PM ENG