The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to other businesses and occasionally to retail customers: Record on page 10 of the journal Mar. 2 3 4 5 14 16 18 Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, n/30. The cost of the goods sold was $13,300. Sold merchandise for $11,350 plus 6% sales tax to retail cash customers. The cost of the goods sold was $7,000. Sold merchandise on account to Empire Co., $55,400, terms FOB shipping point, n/eom. The cost of the goods sold was $33,200. Sold merchandise for $30,000 to retail customers who used MasterCard. The cost of the goods sold was $19,400. The printed receipts for retail customers included a coupon for $2 off the customer's next purchase. It is estimated that 2,000 of the coupons will be redeemed. Create a compound journal entry for the sale and coupon payable estimate. Sold $18,000 of merchandise to retail customers who used MasterCard and who redeemed 850 of the $2 coupons issued on March 5. The cost of the goods sold was $10,500. Sold merchandise on account to Targhee Co., $27,500, terms FOB shipping point, n/30. The cost of the goods sold was $16,000. Issued credit memo to Targhee Co. for merchandise with an invoice amount of $4,800 returned from sale on March 16. The cost of the merchandise returned was $2,900. Record on page 11 of the journal Mar. 19 Sold merchandise on account to Vista Co., $8,250, terms FOB shipping point, n/eom. Added $75 to the invoice for prepaid freight. The cost of the goods sold was $5,000. Record the freight as a separate transaction. Received check for amount due from Vista Co. for sale of March 19. 31 31 Received check for amount due from Empire Co. for sale of March 4. 31 31 Paid Fleetwood Delivery Service $5,600 for merchandise delivered during March to customers under shipping terms of FOB destination. Paid local newspaper $1,200 for advertising that included point-of-sale coupons for $15 off April purchases of $75 or more. It is estimated that 500 of the coupons will be redeemed. (Do not create any liability for the estimated coupon redemption at this time.) Apr. 1 Received check for amount due from Equinox Co. for sale on March 2. 3 15 15 16 Paid City Bank $940 for service fees for handling MasterCard and American Express sales during March. Paid $6,544 to state sales tax division for taxes owed on sales. Received check for amount due from Targhee Co. for sale on March 16 less credit memo of March 18. Sold merchandise with a list price of $40,000 to customers using MasterCard. Customers redeemed 300 of the point-of-sale, $15-off coupons distributed on March 31. The cost of the merchandise sold was $18,750. Required: Journalize the entries to record the transactions of Amsterdam Supply Co. CHART OF ACCOUNTS Amsterdam Supply Co. General Ledger ASSETS 110 Cash 121 Accounts Receivable-Empire Co. 122 Accounts Receivable-Equinox Co. 123 Accounts Receivable-Targhee Co. 124 Accounts Receivable-Vista Co. 125 Notes Receivable 130 Inventory 131 Estimated Returns Inventory 140 Office Supplies 141 Store Supplies 142 Prepaid Insurance 180 Land 192 Store Equipment 193 Accumulated Depreciation-Store Equipment 194 Office Equipment 195 Accumulated Depreciation-Office Equipment REVENUE 410 Sales 610 Interest Revenue EXPENSES 510 Cost of Goods Sold 521 Delivery Expense 522 Advertising Expense 524 Depreciation Expense-Store Equipment 525 Depreciation Expense-Office Equipment 526 Salaries Expense 531 Rent Expense 533 Insurance Expense 534 Store Supplies Expense 535 Office Supplies Expense 536 Credit Card Expense 539 Miscellaneous Expense 710 Interest Expense LIABILITIES 210 Accounts Payable 216 Salaries Payable 218 Sales Tax Payable 219 Estimated Coupons Payable 220 Customer Refunds Payable 221 Notes Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends JOURNAL Score: 323/387 PAGE 10 ACCOUNTING EQUATION DATE 1 DESCRIPTION POST. REF. DEBIT CREDIT ASSETS 2 3 Mar. 2 Sales Accounts Receivable-Equinox Co. Mar. 2 Accounts Receivable-Equinox Co. 18,900.00 LIABILITIES EQUITY 18,900.00 13,300.00 6 Inventory 5 Mar. 3 Cash Sales 13,300.00 12,031.00 11,350.00 7 Sales Tax Payable 681.00 8 Mar. 3 Cost of Goods Sold 7,000.00 9 Inventory 7,000.00 10 Mar. 4 Accounts Receivable-Empire Co. 55,400.00 11 Sales 55,400.00 12 Mar. 4 Cost of Goods Sold 33,200.00 13 Inventory 33,200.00 14 Mar. 5 Cash 31,800.00 15 16 17 Sales Sales Tax Payable Mar. 5 Cost of Goods Sold 30,000.00 1,800.00 19,400.00 18 Inventory 19,400.00 19 Mar. 12 Cash 18,711.00 20 Estimated Coupons Payable 189.00 21 Accounts Receivable-Equinox Co. 18,900.00 22 Mar. 14 Cash 13,700.00 23 Sales 13,700.00 24 Mar. 14 Cost of Goods Sold 8,350.00 25 Inventory 8,350.00 26 Mar. 16 Accounts Receivable-Targhee Co. 27,500.00 27 Sales 27,500.00 28 Mar. 16 Cost of Goods Sold 16,000.00 29 Inventory 16,000.00 30 Mar. 18 Sales Tax Payable 4,800.00 31 Accounts Receivable-Targhee Co. 4,800.00 DATE DESCRIPTION 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 JOURNAL Score: 0/326 POST. REF. DEBIT CREDIT PAGE 11 ACCOUNTING EQUATION ASSETS LIABILITIES EQUITY