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Question: JP Company had purchased 2500 units of a merchandise (called XOM) for sale at a cost of $12 per unit from Reynolds Company on

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Question: JP Company had purchased 2500 units of a merchandise (called XOM) for sale at a cost of $12 per unit from Reynolds Company on account. Sales taxes was 8% which was not included in the price. JP Company was charged $200 for shipping and handling. Terms were 2/10,n/30. JP paid Reynold Company in full within discount period. Provide journal entry for JP for this payment to Reynolds Company. JP is using Perpetual Inventory System. Answer = The following is list of accounts each represented by letter(s). Example of Answer: Question: During an internal audit, company realized that $25,000 collections from a customer during the last month of last year in advance for services to be rendered in the future was treated as revenue of last year when collected. The service to the customer is not yet provided. Applicable income tax rate for last year was 30%. Provide the necessary journal entry that should be made this year to correct the error. Answer = Question: On September 1st, JP Company rented its new shop to Gina and collected Provide the edjusting journal entry that JP Company should make on Dec. 31st of the same year in regard to the above rent. Answer = Where each box represents a journal entry line. In first box, G denotes Cash account, 3000 is the amount, D stands for debit. In second box: B denotes Accounts Receivable account, 2000 is the amount, D stands for debit. And in third box: GG denotes Service Revenues, 5000 is the amount, and C stands for credit. The letters are in capital. Don't use dollar sign, decimal point, comma, or space in any. place. If in an entry requires more than one debit or credit accounts, first enter debit accounts (in order of dollar amount - large amount to small amount), then the credit accounts (in order of dollar amount - large amount to small amount). Question: The following is taken from Adjusted Trial Balance of Company. Provide journal entry to close expense accounts. Answer =

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