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
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, $17,400, terms FOB shipping point, 2/10, n/30. Swan Company paid freight of $340, which was added to the invoice. The cost of the merchandise sold was $11,000.
8. Swan Company sold merchandise on account to Bird Company, $24,000, terms FOB destination, 1/15, n/30. The cost of the merchandise sold was $14,400.
8. Swan Company paid freight of $790 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, $8,500, terms FOB shipping point, n/45. The cost of the merchandise sold was $5,100.
26. Bird Company paid freight of $400 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.
Journalize the April transactions for Bird Company (the buyer).
Date | Account | Debit | Credit |
Apr. 2 | Merchandise Inventory | | |
| Accounts Payable-Swan Company | | |
Date | Account | Debit | Credit |
Apr. 8 | Merchandise Inventory | | |
| Accounts Payable-Swan Company | | |
Date | Account | Debit | Credit |
Apr. 12-payment | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 18 | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 23 | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 24 | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 26 | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 30 | | | |
| | | |
2. Journalize the April transactions for Swan Company (the seller).
Date | Account | Debit | Credit |
Apr. 2-sale | Sales | | |
| Sales | | |
Date | Account | Debit | Credit |
Apr. 2-freight | | | |
| Cash | | |
Date | Account | Debit | Credit |
Apr. 2-cost | Cost of Merchandise Sold | | |
| Merchandise Inventory | | |
Date | Account | Debit | Credit |
Apr. 8-sale | | | |
| Sales | | |
Date | Account | Debit | Credit |
Apr. 8-cost | Cost of Merchandise Sold | | |
| Merchandise Inventory | | |
Date | Account | Debit | Credit |
Apr. 8-freight | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 12-collection | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 18 | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 23 | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 24-sale | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 24-cost | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 30 | | | |
| | | |
Date | Account | Debit | Credit |
Apr. 30 | | | |
Please help! explainations and equations would be very helpful!!! | | | |