March 1 as well. Wages were paid on March 1 in the amount of $2120. These wages
ID: 2393183 • Letter: M
Question
March 1 as well. Wages were paid on March 1 in the amount of $2120. These wages covered the last 2 weeks of February. On March 2, Avery placed an order for snowboards in the amount of $7600 from the Mad River Snow Board Manufacturing Company.
Avery purchased furniture and fixtures for $4500 on March 3. You determine that the useful life of the furniture and fixtures is 7 years. Avery pays cash for the furniture and fixtures.
The store received the delivery of snowboards from the Mad River Snow Board Manufacturing Company worth $7600 on March 4. In order to conserve cash, Avery purchased the snowboards on credit. The bill for the snowboards is due in 45 days.
Journal entries to record sales are entered into the general journal weekly. On March 7, week 1 sales were recorded. Week one sales were $4200. Of this amount, $2300 was in cash, the remainder
on credit. The cost of the snowboards sold was $2167. The inventory account is updated at the same time sales are recorded. On March 12 Avery paid $749 to the Mad River Snow Board Manufacturing Company for the snowboards received on March 7.
Wages were paid on March 15 in the amount of $2120. These wages covered the first two weeks of March. Sales for week 2 were recorded on March 15. Sales for week two totaled $4300. Of
this amount, $1889 was in cash, the remainder was on credit. The cost of the snowboards sold was $1500.
On the first of the month, Avery paid 6 months’ rent for the store in advance at $2200 per month. Avery purchased supplies for the store in the amount of $425 in cash from the Burlington Supply Co onMarch 1 as well. Wages were paid on March 1 in the amount of $2120. These wages covered the last 2 weeks of February. On March 2, Avery placed an order for snowboards in the amount of $7600 from the Mad River Snow Board Manufacturing Company.
Avery purchased furniture and fixtures for $4500 on March 3. You determine that the useful life of the furniture and fixtures is 7 years. Avery pays cash for the furniture and fixtures.
The store received the delivery of snowboards from the Mad River Snow Board Manufacturing Company worth $7600 on March 4. In order to conserve cash, Avery purchased the snowboards on credit. The bill for the snowboards is due in 45 days.
Journal entries to record sales are entered into the general journal weekly. On March 7, week 1 sales were recorded. Week one sales were $4200. Of this amount, $2300 was in cash, the remainder
on credit. The cost of the snowboards sold was $2167. The inventory account is updated at the same time sales are recorded. On March 12 Avery paid $749 to the Mad River Snow Board Manufacturing Company for the snowboards received on March 7.
Wages were paid on March 15 in the amount of $2120. These wages covered the first two weeks of March. Sales for week 2 were recorded on March 15. Sales for week two totaled $4300. Of
this amount, $1889 was in cash, the remainder was on credit. The cost of the snowboards sold was $1500.
Explanation / Answer
Please hit LIKE button if this helped. For any further explanation, please put your query in comment, will get back to you. Date Account Debit Credit March 1 Prepaid Rent 2200 Cash 2200 1 Office Supplies 425 Cash 425 1 Wages Payable 425 Cash 425 3 Furniture and Fixture 4500 Cash 4500 4 Snowboard 7600 Accounts Payable 7600 7 Accounts Receivable 1900 Cash 2300 Sales 4200 7 Cost of Goods Sold 2167 Inventory 2167 12 Accounts Payable 749 Cash 749 15 Wages Expense 2120 Cash 2120 15 Accounts Receivable 2411 Cash 1889 Sales 4300 15 Cost of Goods Sold 1500 Inventory 1500