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Suppose Muddyriver.com sells 2,000 books on account for $19 each (cost of these books is $22,800), credit terms 1/20, n/45 on October 10, to The

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Suppose Muddyriver.com sells 2,000 books on account for $19 each (cost of these books is $22,800), credit terms 1/20, n/45 on October 10, to The Salem Store. The Salem Store paid the balance to Muddyriver.com on October 22. Requirements 1. Journalize The Salem Store's October transactions. 2 . Journalize Muddyriver.com's October transactions. Assume Muddyriver.com uses the gross method to record sales revenue. Requirement 1. Journalize The Salem Store's October transactions. (Record debits first, then credits. Exclude explanations from journal entries. Assume The Salem Store uses the perpetual inventory system.) Oct. 10: Muddyriver.com sells 2,000 books on account for $19 each (cost of these books is $22,800), credit terms 1/20, n/45 on October 10, to The Salem Store. Record the entry for The Salem Store on this date. Date Accounts Debit Credit Oct. 10 Merchandise Inventory Accounts Payable Oct. 22: The Salem Store paid the balance to Muddyriver.com. Record the entry for The Salem Store on this date. Date Accounts Debit Credit Oct. 22 Requirement 2. Journalize Muddyriver.com's October transactions. Assume Muddyriver.com uses the gross method to record sales revenue. (Record debits first, then credits. Exclude explanations from journal entries. Assume Muddyriver.com uses the perpetual inventory system.) Oct. 10: Sold 2,000 books on account to The Salem Store for $19 each (cost of these books is $22,800), credit terms 1/20, n/45. Begin by preparing the entry to journalize the sale portion of the transaction for Muddyriver.com. (Do not record the expense related to the sale. We will do that in the following step.) Date Accounts Debit Credit Oct. 10 Now journalize the expense related to the October 10 sale. The books sold cost Muddyriver.com $22,800.Requirement 2. Journalize Muddyriver.com's October transactions. Assume Muddyriver.com uses the gross method to record sales revenue. (Record debits first, then credits. Exclude explanations from journal entries. Assume Muddyriver.com uses the perpetual inventory syste Oct. 10: Sold 2,000 books on account to The Salem Store for $19 each (cost of these books is $22,800), credit terms 1/20, n/45. Begin by preparing the entry to journalize the sale portion of the transaction for Muddyriver.com. (Do not record the expense related to the sale. We will do that in the following step.) Date Accounts Debit Credit Oct. 10 Now journalize the expense related to the October 10 sale. The books sold cost Muddyriver.com $22,800. Date Accounts Debit Credit Oct. 10 Oct. 22: The Salem Store paid the balance to Muddyriver.com on October 22. Record the entry for Muddyriver.com on this date. Date Accounts Debit Credit Oct. 22

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