Sales-Related and Purchase-Related Transactions for Seller and Buyer Using Perpetual Inventory System The following selected transactions were completed during April between Swan Company and Bird Company: Apr.2. Swan Company sold merchandise on account to Bird Company, $19,400, terms FOB shipping point, 1/10, n/30. Swan Company paid freight of $250, which was added to the invoice. The cost of the merchandise sold was $12,200. 8. Swan Company sold merchandise on account to Bird Company, $26,000, terms FOB destination, 2/15, n/30. The cost of the merchandise sold was $15,600. 8. Swan Company paid freight of $650 for delivery of merchandise sold to Bird Company on April 8. 12. Bird Company paid Swan Company for purchase of April 2. 18. Swan Company paid Bird Company a refund of $2,000 for defective merchandise in the April 2 purchase. Bird Company agreed to keep the merchandise. 23. Bird Company paid Swan Company for purchase of April 8. 24. Swan Company sold merchandise on account to Bird Company, $9,700, terms FOB shipping point, n/45. The cost of the merchandise sold was $5,800. 26. Bird Company paid freight of $280 on April 24 purchase from Swan Company. 30. Swan Company granted a customer allowance (credit memo) to Bird Company for $11,300 for merchandise that was returned from the August 24 purchase. The cost of the merchandise returned was $6,500. Required: 1. Journalize the April transactions for Bird Company (the buyer). Date Account Debit Credit Apr. 2 Merchandise Inventory 19,650 x Accounts Payable-Swan Company 19,650 X Date Account Debit Credit Apr. 8 Merchandise Inventory 26,000 Accounts Payable-Swan Company 26,000 x Date Account Debit Credit Apr. 12 Accounts Payable-Swan Company Cash Date Account Debit Credit Apr. 18 Cash Merchandise Inventory Date Account Debit Credit Apr. 23 Accounts Payable-Swan Company Cash Date Account Debit Credit Apr. 24 Merchandise Inventory Accounts Payable-Swan Company Date Account Debit Credit Apr. 26 Merchandise Inventory Cash Date Account Debit Credit Apr. 30 Accounts Payable-Swan Company Merchandise Inventory 2. Journalize the April transactions for Swan Company (the seller). Date Account Debit Credit Apr. 2-sale Accounts Receivable-Bird Company Sales Date Account Debit Credit Apr. 2-freight Merchandise Inventory X Date Account Debit Credit Apr. 2-cost Accounts Receivable-Bird Company X Date Account Debit Credit Apr. 8-sale Accounts Receivable-Bird Comp Sales Date Account Debit Credit Apr. 8-cost Cost of Merchandise Sold Merchandise Inventory Date Account Debit Credit Apr. 8-freight Delivery Expense Cash Date Account Debit Credit Apr. 12 Cash Sales Discounts X Date Account Debit Credit Apr. 18 Customer Refunds Payable Cash Date Account Debit Credit Apr. 23 Cash Sales Discounts X Date Account Debit Credit Apr. 24-sale Accounts Receivable-Bird Company Sales Date Account Debit Credit Apr. 24-cost Cost of Merchandise Sold Merchandise Inventory Date Account Debit Credit Apr. 30 Accounts Receivable-Bird Company Date Account Debit Credit Apr. 30 Merchandise Inventory Estimated Returns Inventory
