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Topic 27 Merchandising Activities Below are transactions between Shoes & co, a wholesaler of shoes and Shoe love, a chain of retail shoe stores. Nov.
Topic 27 Merchandising Activities Below are transactions between Shoes & co, a wholesaler of shoes and Shoe love, a chain of retail shoe stores. Nov. 3 Nov. 5 Nov. 12 Both companies use a perpetual inventory system. Shoes & Co sold Shoe Love 300 pairs of sport shoes on account, forms 1/10, 30. The cost of these shoes to Shoes & Co was $20 per pair, and the sales price was $60 per pair. Shoe Love returned four pairs of shoes to Shoes & Co because they were the wrong size. Shoes & Co allowed Shoe Love full credit for this retum. Shoe Love paid the remaining balance due to Shoes & Co within the discount period. Task 2.1: Record this series of transactions in the general Journal of Shoes & Co. (The company records sales at gross sales price) next page Task 2.2: Record this series of transactions in the general Journal of Shoe Love. (The company records purchases of merchandise at net cost). next page Day Journal Entry Month Debits Credits Task 2.3: Prepare journals entries for the following, assuming the company uses a perpetual inventory method and records purchases at their net amounts. Date June 1 June 2 June 4 June 6 June 8 June 12 Journal Entries Credit Debit Topic 2/Merchandising Activities Below are transactions between Shoes & co, a wholesaler of shoes and Shoe love, a chain of retail shoe stores. Nov. 3 Nov. 5 Nov. 12 Both companies use a perpetual inventory system. Shoes & Co sold Shoe Love 300 pairs of sport shoes on account, terms 1/10, n/30. The cast of these shoes to Sh price was $60 per pair. Shoe Love returned four pairs of shoes to Shoes & Co because they were the wrong size. Shoes & Co allowed Sho Shoe Love paid the remaining balance due to Shoes & Co within the discount period. Task 2.1: Record this series of transactions in the general Journal of Shoes & Co. (The company records sales at gross sales price) next page Task 2.2: Record this series of transactions in the general Journal of Shoe Love. (The company records purchases of merchandise at net cost), next page Day Journal Entry Month Debits k2.3: Prepare journals entries for the following, assuming the company uses a perpetual inventory method and records purchases at their net amounts. Date June 1 June 21 June 4 June 6 June 8 June 12 June 16 Journal Entries Debit Credit
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