Spartan Inc. regularly provides services to Grieder Supply with terms 3/10, n/40 and records sales at gross. During a recent month, the two firms engaged in the following transactions:

Spartan sold merchandise with a list price of $35,900.

Spartan sold merchandise with a list price of $52,000.

Grieder paid for the purchase in Transaction a within the discount period.

Grieder paid for the purchase in Transaction b after the discount period.

Required:

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1. Provide the journal entries for Spartan to record the sales in Transactions a and b (make separate entries). If an amount box does not require an entry, leave it blank.

a.	Accounts PayableAccounts ReceivableCashSales DiscountsSales Revenue	- Select -	- Select -
	Accounts ReceivableCashSales DiscountsSales RevenueUnearned Sales Revenue	- Select -	- Select -
b.	Accounts PayableAccounts ReceivableCashSales RevenueUnearned Sales Revenue	- Select -	- Select -
	Accounts PayableAccounts ReceivableCashSales DiscountsSales Revenue	- Select -	- Select -

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2. Provide the journal entry to record the receipt of Grieders payment in Transaction c. If an amount box does not require an entry, leave it blank.

c.	Accounts PayableAccounts ReceivableCashInterest PayableUnearned Sales Revenue	- Select -	- Select -
	Accounts PayableAccounts ReceivableCashSales Returns and AllowancesSales Revenue	- Select -	- Select -
	Accounts PayableAccounts ReceivableCashSales Returns and AllowancesSales Revenue	- Select -	- Select -

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3. Provide the journal entry to record the receipt of Grieders payment in Transaction d. If an amount box does not require an entry, leave it blank.

d.	Accounts PayableAccounts ReceivableCashSales RevenueUnearned Sales Revenue	- Select -	- Select -
	Accounts PayableAccounts ReceivableCashSales DiscountsSales Revenue	- Select -	- Select -

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4. Conceptual Connection: What implied annual interest rate is Grieder incurring by failing to take the sales discount and, instead, paying the gross amount after 40 days? Assume a 365-day year. Round the percentage to one decimal place. fill in the blank a60b36f9d04f03b_1 %