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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
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 | Sold merchandise on account to Equinox Co., $18,300, terms FOB destination, n/30. The cost of the goods sold was $13,100. |
3 | Sold merchandise for $11,350 plus 6% sales tax to retail cash customers. The cost of the goods sold was $6,000. | |
4 | Sold merchandise on account to Empire Co., $55,300, terms FOB shipping point, n/eom. The cost of the goods sold was $33,100. | |
5 | Sold merchandise for $29,000 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 customers 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. | |
14 | Sold $17,000 of merchandise to retail customers who used MasterCard and who redeemed 900 of the $2 coupons issued on March 5. The cost of the goods sold was $10,200. | |
16 | Sold merchandise on account to Targhee Co., $28,000, terms FOB shipping point, n/30. The cost of the goods sold was $14,000. | |
18 | 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 $2,800. |
Record on page 11 of the journal
Mar. | 19 | Sold merchandise on account to Vista Co., $8,200, terms FOB shipping point, n/eom. Added $75 to the invoice for prepaid freight. The cost of the goods sold was $5,100. Record the freight as a separate transaction. |
31 | Received check for amount due from Vista Co. for sale of March 19. | |
31 | Received check for amount due from Empire Co. for sale of March 4. | |
31 | Paid Fleetwood Delivery Service $6,000 for merchandise delivered during March to customers under shipping terms of FOB destination. | |
31 | 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 | Paid City Bank $940 for service fees for handling MasterCard and American Express sales during March. | |
15 | Paid $6,800 to state sales tax division for taxes owed on sales. | |
15 | Received check for amount due from Targhee Co. for sale on March 16 less credit memo of March 18. | |
16 | Sold merchandise with a list price of $39,500 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. |
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