Question
Vella Physio Company is located in Ponoka, Alberta and is a retailer of physio supplies. Beginning inventory is $20,000, and Vella uses the perpetual inventory
Vella Physio Company is located in Ponoka, Alberta and is a retailer of physio supplies. Beginning inventory is $20,000, and Vella uses the perpetual inventory system. Complete the journal entries on the following dates, including 5% GST as applicable.
Oct-01Vella purchases $60,000 of merchandise from Physio Supplies Co. for cash.
Oct-12Vella sells $22,000 of massage products to a customer on credit terms n/45. The merchandise cost $12,000.
Oct-31The customer pays for the October 12th sale.
Nov-10Vella remits the appropriate amount of GST to the government for the month of October.
Please solve this queation in step bt step manner and explain so i could understand the concept. Please provide a clear answer for positive rating.
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