Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $21,000 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $14,070. Sydney pays $370 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,500 of the $21,000 of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $1,005. 20 Sydney pays Troy for the amount owed. Troy receives the cash immediately. Assume that both buyer and seller use a periodic inventory system and the gross method. 1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. 2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. View transaction list Journal entry worksheet 2 3 4 Sydney accepts delivery of $21,000 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $14,070. Note: Enter debits before credits. Date General Journal Debit Credit May 11 Record entry Clear entry View general journal Required 1 Required 2 > Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions. May 11 Sydney accepts delivery of $21,000 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $14,070. Sydney pays $370 cash to Express Shipping for delivery charges on the merchandise. 12 Sydney returns $1,500 of the $21,000 of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $1,005. 20 Sydney pays Troy for the amount owed. Troy receives the cash immediately. Assume that both buyer and seller use a periodic inventory system and the gross method. 1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. 2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that Troy Wholesalers (seller) records for these three transactions. View transaction list Journal entry worksheet 2 3 Sydney accepts delivery of $21,000 of merchandise it purchases for resale from Troy: invoice dated May 11, with terms of 3/10, n/90, FOB shipping point. Note: Enter debits before credits. Date General Journal Debit Credit May 11 Record entry Clear entry View general journal Required 1 Required 2
