Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Wildhorse Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Wildhorse showed Cash of

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Wildhorse Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Wildhorse showed Cash of $ 4,500 and Owner's Capital of $4,500 May 1 N 5 9 10 Purchased merchandise on account from Braun's Wholesale Supply for $4,200, terms 2/10, 1/30. Sold merchandise on account $ 2,100, terms 1/10, 1/30. The cost of the merchandise sold was $ 1,300. Received credit from Braun's Wholesale Supply for merchandise returned $ 350. Received collections in full, less discounts, from customers billed on May 2. Paid Braun's Wholesale Supply in full, less discount. Purchased supplies for cash $ 350. Purchased merchandise for cash $ 1.400. Received $ 150 refund for return of poor-quality merchandise from supplier on cash purchase. Purchased merchandise on account from Valley Distributors for $1,300, terms 2/10, 1/30,FOB shipping point 11 12 15 17 19 Paid freight on May 17 purchase $ 140. Sold merchandise for cash $3,500. The merchandise sold had a cost of $ 2.100. 24 19 Paid freight on May 17 purchase $ 140. 24 25 27 Sold merchandise for cash $3,500. The merchandise sold had a cost of $ 2.100. Purchased merchandise on accident from Lumley, Inc. for $ 650, terms 2/10, 1/30. Paid Valley Distributors in full, less discount. Made refunds to cash customers for returned merchandise $ 70. The returned merchandisecost $ 20. Sold merchandise on account for $1.000 terms /30. The cost of the merchandise sold was $ 600. 29 31 Wildhorse Hardware's chart of accounts includes the following: No. 101 Cash. No. 112 Accounts Receivable, No. 120 Inventory, No. 126 Supplies, No. 201 Accounts Payable. No. 301 Owner's Capital, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts, and No. 505 Cost of Goods Sold. No. 101 Cash Balance Date Credit Explanation Ref. Debit Balance 31 31 31 11 11 31 31 - 09 56 Modily doudy e O 31 31 11 1 31 31 31 31 Accounts Receivable No. 112 Date Explanation Rel. Debit Credit Balance No. 112 Accounts Receivable Date Explanation Rel. Debit Balance Credit 11 31 31 Inventory No. 120 Date Explanation Ref. Debit Credit Balance 11 > 11 3 31 1 Inventory No. 120 Date Explanation Ref. Debit Credit Balance 01 11 31 31 11 11 C 11 > 31 35M > 3) S 55F Mostly doudy TE > TO TC > TO 11

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting The Cornerstone Of Business Decision-making, , (6 Months)

Authors: Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

7th Edition

1337115924, 9781337115926

More Books

Students also viewed these Accounting questions

Question

Does your message reiterate its main idea?

Answered: 1 week ago