Question
The Fedora Company had a beginning inventory balance of $25,750 and engaged in the following transactions during the month of June. June 2 June 4
The Fedora Company had a beginning inventory balance of $25,750 and engaged in the following transactions during the month of June.
June 2
June 4
June 6
June 9
June 10
June 22
June 24
June 25
Purchased $4,000 of merchandise inventory on account from Plumes
Incorporated with terms 2/10, n/30 and FOB destination. Freight costs associated with this purchase were $225.
Returned $400 of damaged merchandise to Plumes Incorporated
Sold $7,000 of merchandise to Fancy Caps on account, terms 1/15, n/30 and FOB shipping point. Freight costs were $125. The cost of the inventory sold was $3,500.
Paid the amount owed to Plumes Incorporated
The Fedora kompany granted Fancy Caps an allowance on the June 6
sale of $300 for minor damage found on several pieces of merchandise.
Received total payment owed from Fancy Caps
Paid sales salaries of $1,850
Paid the rent on the showroom of $1,200
The Fedora Company had a beginning inventory balance of $25,750 and engaged in the following transactions during the month of June.
June 2
June 4
June 6
June 9
June 10
June 22
June 24
June 25
Purchased $4,000 of merchandise inventory on account from Plumes
Incorporated with terms 2/10, n/30 and FOB destination. Freight costs associated with this purchase were $225.
Returned $400 of damaged merchandise to Plumes Incorporated
Sold $7,000 of merchandise to Fancy Caps on account, terms 1/15, n/30 and FOB shipping point. Freight costs were $125. The cost of the inventory sold was $3,500.
Paid the amount owed to Plumes Incorporated
The Fedora kompany granted Fancy Caps an allowance on the June 6
sale of $300 for minor damage found on several pieces of merchandise.
Received total payment owed from Fancy Caps
Paid sales salaries of $1,850
Paid the rent on the showroom of $1,200
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