Answered

Welcome to Westonci.ca, your one-stop destination for finding answers to all your questions. Join our expert community now! Explore our Q&A platform to find reliable answers from a wide range of experts in different fields. Connect with a community of professionals ready to help you find accurate solutions to your questions quickly and efficiently.

Record the following transactions for Sparkyâs Pet Shop.

August 1 Purchased $6,000 of merchandise on account, terms 2/10, n/30.
3 Returned $1,500 of merchandise purchased on August 1 due to defects.
7 Recorded cash sales for the first week of August, $9,750; cost of the merchandise was $4,000.
10 Made sale on account to a local breeder for $500, terms 1/10 net 30; cost of the merchandise was $200.
11 Paid for the merchandise purchased on August 1, less return.

Required:
Journalize the above transactions.

Sagot :

abiolataiwo2015

Answer:

August 1

Dr Finished goods inventory $6,000

Cr Accounts Payable $6,000

Aug 3

Dr Accounts Payable $1,500

Cr Finished goods inventory $1,500

Aug 7

Dr Cash $9,750

Cr Sales Revenue$9,750

Aug 7

Dr Costs of goods sold $4,000

Cr Finished goods inventory $4,000

Aug 10

Dr Accounts receivable $500

Cr Sales revenue $500

Aug 10

Dr Costs of goods sold $200

Cr Finished goods inventory $200

Aug 11

Dr r Accounts receivable $4,500

Cr Finished goods inventory $90

Cr Cash $4,410

Aug 20

Dr Cash $495

Dr Sales discount $5

Cr Accounts receivable $500

Explanation:

August 1

Dr Finished goods inventory$6000

Cr Accounts Payable $6,000

Aug 3

Dr Accounts Payable $1,500

Cr Finished goods inventory $1,500

Aug 7

Dr Cash$9,750

Cr Sales Revenue$9,750

Aug 7

Dr Costs of goods sold $4000

Cr Finished goods inventory $4000

Aug 10

Dr Accounts receivable $500

Cr Sales revenue $500

Aug 10

Dr Costs of goods sold $200

Cr Finished goods inventory $200

Aug 11

Dr r Accounts receivable $4,500

Cr Finished goods inventory $90

[($6,000-$1,500)*2%]

Cr Cash $4,410

($4,500-$90)

Aug 20

Dr Cash $495

(99%*500)

Dr Sales discount $5

(1%*$500)

Cr Accounts receivable $500

Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. Keep exploring Westonci.ca for more insightful answers to your questions. We're here to help.