The following are transactions for Chandler Fashions for the month of June. June 2: Purchased 3,000 items
Question:
The following are transactions for Chandler Fashions for the month of June.
June 2: Purchased 3,000 items of inventory under terms 1/10, n/60 and FOB shipping point from Flower Manufacturing.The merchandise had a cost of $12,000
June 7: Returned defective merchandise to Flower Manufacturing with invoice price of $4,000.
June 8: Paid the freight charges on the purchase from Flower Manufacturing in cash for $200.
June 9: Sold merchandise to Trendy Store on account for $10,000 with terms 2/15, n/60 FOB shipping point. Cost of the merchandise sold was$6,000.
June 10: Paid Flower Manufacturing the balance on account.
June 12: Granted sales allowance of $1,000 to Trendy Store for defective merchandise.
June 23: Collected balance owing from Trendy Store.
June 27: Purchased 500 items of inventory, terms 1/15, n/30, FOB destination from Sparkle Co. The merchandise had a cost $2,000.
June 30: Paid for the merchandise from Sparkle Co.
Using a perpetual inventory system, prepare the journal entries to record the transactions
OMIT Explanations.
Horngrens Financial And Managerial Accounting The Financial Chapters
ISBN: 9780137858651
8th Edition
Authors: Tracie Miller Nobles, Brenda Mattison