Question
Syracuse Ltd uses a perpetual inventory system. During the month of June 2023, the following transactions occurred: June 9 Sold goods on credit for $7,500;
Syracuse Ltd uses a perpetual inventory system. During the month of June 2023, the following transactions occurred:
June 9 Sold goods on credit for $7,500; terms 2/7, n/30 to New Orleans Ltd. The inventory sold had a cost of $5,000.
June 11 New Orleans Ltd returned $1,200 of the goods, costing $800.
June 15 Received payment from New Orleans Ltd.
a. Prepare the journal entries to record the transactions. Ignore GST.
b. On 20 June, Syracuse purchased $12,100 of inventory (terms 3/7, n/30) from Virginia Ltd. Assuming that this price is GST inclusive. Prepare the journal to record this transaction. Assumes GST applies.
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Audit Criteria For Electronic Document Management Processes And Associated IT Solutions
Authors: Alexander D Balzer, Dr Klaus-Peter Elpel, Volker Feist
5th Edition
3932898281, 978-3932898280
