Prepare journal entries to reoord each of the following transactions The company

Question

Prepare journal entries to reoord each of the following transactions The company records purchases using the gross mothod and a perpetual inventory system Aug Purchased serchandise with an inwoice price of $114,000 and credit torms of 210, nv3D Aug. 11 Pad supplier the amount owed from the August 1 purohase Journal entry worksheet Purchased merchandise with an invoice price of $114,000 and credit terms of 2/10, n/30 Dale DebitCredit hug 01 Recand entry cwar eatry vww gsoerai joumal O Type here to search

Explanation / Answer

Solution:

Journal Entries Date Particulars Debit Credit 1-Aug Merchandise inventory Dr $114,000.00       To Accounts payable $114,000.00 (To record inventory purchase on account) 11-Aug Accounts payable Dr $114,000.00       To Cash $111,720.00       To Purchase discount $2,280.00 (To record payment to supplier and discount availed)

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---