Question
Required information [The following information applies to the questions displayed below.] At the beginning of July, CD City has a balance in inventory of
Required information [The following information applies to the questions displayed below.] At the beginning of July, CD City has a balance in inventory of $2,650. The following transactions occur during the month of July. July July 3 Purchase CDs on account from Wholesale Music for $1,550, terms 2/10, n/30. 4 Pay cash for freight charges related to the July 3 purchase from Wholesale Music, $100. July 9 Return incorrectly ordered CDs to Wholesale Music and receive credit, $300. July 11 Pay Wholesale Music in full. July 12 Sell CDs to customers on account, $4,300, that had a cost of $2,250. July 15 Receive full payment from customers related to the sale on July 12. July 18 Purchase CDs on account from Music Supply for $2,350, terms 2/10, n/30. July 22 Sell CDs to customers for cash, $3,450, that had a cost of $1,750. July 28 Return CDs to Music Supply and receive credit of $150. July 30 Pay Music Supply in full. Required: 1. Assuming that CD City uses a perpetual inventory system, record the transactions. (If no entry is required for a transaction/eve select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 2 3 5 6 7 12 Record purchase of CDs on account from Wholesale Music for $1,550, terms 2/10, n/30. Note: Enter debits before credits. A
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