The following information is available for the Johnson Corporation for 2018: Beginning inventory .......................................... $25,000 Merchandise purchases

Question:

The following information is available for the Johnson for 2018:
Beginning inventory .......................................... $25,000
Merchandise purchases (on account) ........................ 155,000
Freight charges on purchases (paid in cash) ................ 10,000
Merchandise returned to supplier (for credit) .............. 12,000
.............................................. 30,000
Sales (on account) ............................................. 250,000
Cost of merchandise sold ..................................... 148,000
Required:
Applying both a perpetual and a periodic inventory system, prepare the journal entries that summarize the transactions that created these balances. Include all end-of-period adjusting entries indicated.
Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...