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Tracy Company, a manufacturer of air conditioners, sold 100 units to Thomas Company on November 17, 2024. The units have a list price of $600

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Tracy Company, a manufacturer of air conditioners, sold 100 units to Thomas Company on November 17, 2024. The units have a list price of $600 each, but Thomas was given a 30% trade discount. The terms of the sale were 2/10,n/30. Required: 1. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26,2024 , assuming that the gross method of accounting for cash discounts is used. 2. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15,2024, assuming that the gross method of accounting for cash discounts is used. 3. Repeat requirements 1 and 2 assuming that the net method of accounting for cash discounts is used. Harwell Company manufactures automobile tires. On July 15,2024 , the company sold 1.000 tires to the Nixon Car Company for $50 each. The terms of the sale were 2/10,n/30. Harwell uses the gross method of accounting for cash discounts. Required: 1. Prepare the journal entries to record the sale on July 15 (ignore cost of goods) and collection on July 23,2024. 2. Prepare the journal entries to record the sale on July 15 (ignore cost of goods) and collection on August 15, 2024. [This is a variation of E 7-6 modified to focus on the net method of accounting for cash discounts.] Harwell Company manufactures automobile tires. On July 15, 2024, the company sold 1.000 tires to the Nixon Car Company for $50 each. The terms of the sale were 2/10,n/30. Harwell uses the net method of accounting for cash discounts. Required: 1. Prepare the journal entries to record the sale on July 15 (ignore cost of goods) and payment on July 23,2024. 2. Prepare the journal entries to record the sale on July 15 (ignore cost of goods) and payment on August 15, 2024

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