Assume that on September J, office Depot had an inventory that included a variet
ID: 2468302 • Letter: A
Question
Assume that on September J, office Depot had an inventory that included a variety of calculators The company uses a perpetual Purchased calculators from Dragoo Co. at a total cost of $1,670. terms ry30 Paid freight of $50 on calculators purchased from Dragoo Co. Returned calculators to Dragoo Co. for $56 credit because they they not meet specifications. sold calculators costing $480 for $700 to Fryer Book Store, terms n/30. Granted Credit of $35 to Fryer Book Store for the return of one calculator that was not ordered The calculator cast $25. sold calculators casting $650 for $870 to Measley Card Shop, terms n/30.Explanation / Answer
Date Particulars Amount($) Amount($) Sep 6 Inventory A/c Dr $1670 To Accounts Payable $1670 (Inventory purchased on credit) Sep 9 Inventory A/c DR $50 To Cash $50 (Being Frieght paid) Sep10 Accounts Payable A/c Dr $56 To Inventory $56 (Being Inventory Returned) Sep 12 Accounts Receivable A/c Dr $700 To Credit sales $700 (BEing Inventory sold on credit) Sep 12 Cost of Goods Sold $480 To Inventory $480 Sep 14 Sales Return A/c Dr $35 To Accounts Receivable $35 Being Sales Return recorded) Sep 14 Cost of Goods Sold $25 To inventory $25 Sep 20 Accounts Receivable A/c $870 TO Credit Sales $870 (Being Goods Sold on Credit) Sep 20 Cost of Goods Sold Dr 650 To inventory 650 (Being inventory returned costing 650)