QUESTION 3 1. On March 12, Klein Company sold merchandise in the amount of $8400 to Babson Company, with credit terms of 3/10,n/30. The cost of the items sold is $4800. Klein uses the inventory system and the method of accounting for sales. On March 15, Babson returns some of the merchandise, which is not defective. The selling price of the returned merchandise is $60 and the cost of the merchandise returned is $380. The entry or entries that Klein must make on March 15 is (are): 380 Sales returns and allowances Accounts receivable 380 660 660 Accounts receivable Sales returns and allowances Cost of goods sold Merchandise inventory 380 380 640 640 Sales returns and allowances Accounts receivable Merchandise inventory Cost of goods sold 380 380 640 640 Sales returns and allowances Accounts receivable Merchandise inventory Cost of goods sold 369 369 660 Accounts receivable Sales returns and allowances 660 QUESTION 15 1 On March 12 Kein Company sold merchandise in the amount of $7,800 to Babson Company, with credit terms of 2/10, 1/30. The cont of the items sold in 54,500 Keln uses the inventory system and the net method of accounting for sales on March 15, Babson returns some of the merchandise, which is not defective. The selling price of the returned marchandise is $800 and the od of the merchandise returned is $350. The entry or entries that Klein must make on March 15 Is (are): 600 Accounts receivable Sales returns and allowances 600 QUESTION 15 1. On March 12, Klein Company sold merchandise in the amount of $7,800 to Babson Company, with credit terms of 2/10, 1/30. The cost of the items sold is $4,500. Klein uses the inventory system and the net method of accounting for sales. On March 15, Babson retums some of the merchandise, which is not defective. The selling price of the retumed merchandise is $600 and the od of the merchandise retumed is $350. The entry or entries that Kein must make on March 15 is (are): 600 Accounts receivable Sales returns and allowances Cost of Goods Sold Merchandise inventory 600 350 350 Accounts receivable Sales returns and allowances 600 600 Sales returns and allowances Accounts receivable 350 350 Sales returns and allowances Accounts receivable 588 588 Page 1 of 6 Merchandise inventory Cost of goods sold 343 343 5881 Sales returns and allowances Accounts receivable Merchandise inventory Cost of goods sold 588 350 350 QUESTION 3 1. On March 12, Klein Company sold merchandise in the amount of $8400 to Babson Company, with credit terms of 3/10,n/30. The cost of the items sold is $4800. Klein uses the inventory system and the method of accounting for sales. On March 15, Babson returns some of the merchandise, which is not defective. The selling price of the returned merchandise is $60 and the cost of the merchandise returned is $380. The entry or entries that Klein must make on March 15 is (are): 380 Sales returns and allowances Accounts receivable 380 660 660 Accounts receivable Sales returns and allowances Cost of goods sold Merchandise inventory 380 380 640 640 Sales returns and allowances Accounts receivable Merchandise inventory Cost of goods sold 380 380 640 640 Sales returns and allowances Accounts receivable Merchandise inventory Cost of goods sold 369 369 660 Accounts receivable Sales returns and allowances 660 QUESTION 15 1 On March 12 Kein Company sold merchandise in the amount of $7,800 to Babson Company, with credit terms of 2/10, 1/30. The cont of the items sold in 54,500 Keln uses the inventory system and the net method of accounting for sales on March 15, Babson returns some of the merchandise, which is not defective. The selling price of the returned marchandise is $800 and the od of the merchandise returned is $350. The entry or entries that Klein must make on March 15 Is (are): 600 Accounts receivable Sales returns and allowances 600 QUESTION 15 1. On March 12, Klein Company sold merchandise in the amount of $7,800 to Babson Company, with credit terms of 2/10, 1/30. The cost of the items sold is $4,500. Klein uses the inventory system and the net method of accounting for sales. On March 15, Babson retums some of the merchandise, which is not defective. The selling price of the retumed merchandise is $600 and the od of the merchandise retumed is $350. The entry or entries that Kein must make on March 15 is (are): 600 Accounts receivable Sales returns and allowances Cost of Goods Sold Merchandise inventory 600 350 350 Accounts receivable Sales returns and allowances 600 600 Sales returns and allowances Accounts receivable 350 350 Sales returns and allowances Accounts receivable 588 588 Page 1 of 6 Merchandise inventory Cost of goods sold 343 343 5881 Sales returns and allowances Accounts receivable Merchandise inventory Cost of goods sold 588 350 350
