Question 12 of 12 Bramble Furniture incurred the following transactions for the month of March. The company uses a perpetual inventory system. Mar. 1 Received $155,000 on account from a major customer. Paid a supplier an amount owing of $248,000, taking the full discount, terms 2/10, n/30. Purchased merchandise from a supplier, $372,000, terms 2/10, n/30, FOB destination. Recorded cash sales, $353,400. The cost of goods sold for these sales was $248,000. No returns were anticipated related to this sale. 2 5 6 7 8 9 9 12 13 0/1 E 14 16 Returned scratched merchandise to the supplier from the March 5 purchase, $31,000. The appropriate company paid freight for the March 5 purchase, $9,300. Sold $248,000 of merchandise on account, terms n/30, FOB destination. The cost of goods sold was $173,600. Management estimated that sales returns will be 12% of sales. The appropriate company paid freight for the March 9 sale, $6.200. Ordered custom merchandise for a local designer totalling $62,000. Received $15,500 as an advance payment. Accepted returned merchandise from the sale on March 9, $24,800. The cost of the goods returned to inventory was $17,360. Paid for the merchandise purchased on March 5, net of merchandise returns on March 7. Paid salaries of $55.800. Recorded cash sales, $316.200. The cost of goods sold for these sales was $221,960. No returns were anticipated
Account Titles and Explanation Debit Credit Mar 1 Bramble Furniture incurred the following transactions for the month of March. The company uses a perpetual inventory system. Mar. 1 Received \$155,000 on account from a major customer. 2 Paid a supplier an amount owing of $248,000, taking the full discount, terms 2/10,n/30. 5 Purchased merchandise from a supplier, $372,000, terms 2/10,n/30, FOB destination. 6 Recorded cash sales, $353,400. The cost of goods sold for these sales was $248,000. No returns were anticipated related to this sale. 7 Returned scratched merchandise to the supplier from the March 5 purchase. $31.000. 8 The appropriate company paid freight for the March S purchase, $9,300 9. Sold $248,000 of merchandise on account, terms n/30, FOB destination. The cost of goods sold was $173,600 Management estimated that sales returns will be 12% of sales 9 The appropriate company paid freight for the March 9 sale, $6,200. 12 Ordered custom merchandise for a local designer totalling \$,62,000. Received $15,500 as an advance payment. 13. Accepted returned merchandise from the sale on March 9.524,800. The cost of the goods returned to inventory was $17,360. 14 Paid for the merchandise purchased on March 5, net of merchandise returns on March7. 16. Paidsalaries of $55,800 Rerorded rach sales $316.200. The cost of goods sold for these sales was $221.960. No returns were anticipated 16 Paid salaries of $55,800. 20 Recorded cash sales, $316,200. The cost of goods sold for these sales was $221,960. No returns were anticipated related to these sales. 27 Paid salaries, $62,000. 29 Received payment of merchandise sold on March 9 net of merchandise returns on March 13. 30 Paidrent $6,200. Adjustment and additional data: 1. Accrued $12,400 for utilities, $12,400 for splarios, and $11,160 for interest on the bank loan. 2. Recorded depreciation on equipment, which has an expected usetul tife of 10 years. 3. Recorded an additional 562,000 of income tax payable: 4. Common shares were issued during the year for $1.240. 5. $55,800 of the bankloan is due to be repaid in the next year. Account Titles and Explanation Debit Credit Mar 1 Bramble Furniture incurred the following transactions for the month of March. The company uses a perpetual inventory system. Mar. 1 Received \$155,000 on account from a major customer. 2 Paid a supplier an amount owing of $248,000, taking the full discount, terms 2/10,n/30. 5 Purchased merchandise from a supplier, $372,000, terms 2/10,n/30, FOB destination. 6 Recorded cash sales, $353,400. The cost of goods sold for these sales was $248,000. No returns were anticipated related to this sale. 7 Returned scratched merchandise to the supplier from the March 5 purchase. $31.000. 8 The appropriate company paid freight for the March S purchase, $9,300 9. Sold $248,000 of merchandise on account, terms n/30, FOB destination. The cost of goods sold was $173,600 Management estimated that sales returns will be 12% of sales 9 The appropriate company paid freight for the March 9 sale, $6,200. 12 Ordered custom merchandise for a local designer totalling \$,62,000. Received $15,500 as an advance payment. 13. Accepted returned merchandise from the sale on March 9.524,800. The cost of the goods returned to inventory was $17,360. 14 Paid for the merchandise purchased on March 5, net of merchandise returns on March7. 16. Paidsalaries of $55,800 Rerorded rach sales $316.200. The cost of goods sold for these sales was $221.960. No returns were anticipated 16 Paid salaries of $55,800. 20 Recorded cash sales, $316,200. The cost of goods sold for these sales was $221,960. No returns were anticipated related to these sales. 27 Paid salaries, $62,000. 29 Received payment of merchandise sold on March 9 net of merchandise returns on March 13. 30 Paidrent $6,200. Adjustment and additional data: 1. Accrued $12,400 for utilities, $12,400 for splarios, and $11,160 for interest on the bank loan. 2. Recorded depreciation on equipment, which has an expected usetul tife of 10 years. 3. Recorded an additional 562,000 of income tax payable: 4. Common shares were issued during the year for $1.240. 5. $55,800 of the bankloan is due to be repaid in the next year
