Question
The following information is available for the Johnson Corporation: Beginning inventory $ 32,000 Inventory purchases (on account) 162,000 Freight charges on purchases (paid in cash)
The following information is available for the Johnson Corporation:
| Beginning inventory | $ | 32,000 | |
| Inventory purchases (on account) | 162,000 | ||
| Freight charges on purchases (paid in cash) | 17,000 | ||
| Inventory returned to suppliers (for credit) | 19,000 | ||
| Ending inventory | 37,000 | ||
| Sales (on account) | 257,000 | ||
| Cost of inventory sold | 155,000 | ||
Required: Applying both a perpetual and a periodic inventory system, prepare the journal entries that summarize the transactions that created these balances. Include all end-of-period adjusting entries indicated.
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Intermediate Accounting
Authors: James D. Stice, Earl K. Stice, Fred Skousen
16th Edition
324376375, 0324375743I, 978-0324376371, 9780324375749, 978-0324312140
