Presented below is information from Cullumber Computers Incorporated. Prepare th

Question

Presented below is information from Cullumber Computers Incorporated.

Prepare the necessary journal entries for Cullumber Computers. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

July 1 Sold $29,600 of computers to Robertson Company with terms 2/15, n/60. Cullumber uses the gross method to record cash discounts. Cullumber estimates allowances of $1,306 will be honored on these sales. 10 Cullumber received payment from Robertson for the full amount owed from the July transactions. 17 Sold $223,800 in computers and peripherals to The Clark Store with terms of 1/10, n/30. 30 The Clark Store paid Cullumber for its purchase of July 17. Date Account Titles and Explanation Debit Credit July 1 Accounts Receivable 29600 Sales Revenue 29600 (To record sales revenue.) Accounts Receivable Sales Revenue (To record allowance for sales returns.) uly 10 Cash 29304 Purchase Discounts 296 Accounts Receivable 29600 July 17 Accounts Receivable 223800 Sales Revenue 223800 July 30 Cash 223800 Accounts Receivable 223800

Explanation / Answer

Journal entry :

Date accounts & explanation debit credit July 1 Account receivable 29600 Sales revenue 29600 (To record sales revenue) Allowance for sales return 1306 Sales return 1306 (To record allowance for sales return) July 10 Cash 29008 Sales discount 592 Account receivable 29600 July 17 Account receivable 223800 Sales revenue 223800 July 30 Cash 223800 Account receivable 223800

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