80.2K

Verified Solution

Link Copied!

Ivanhoe Warehouse distributes hardback books to retail stores and extends credit terms of $\frac{4}{10},\frac{n}{30}$ to all of its customers. During

the month of June, the following merchandising transactions occurred.

June $1$ Purchased books on account for $$2,775($including freight$)$ from Catlin Publishers, terms $4/10,$ n$/30.$

$3$ Sold books on account to Garfunkel Bookstore for $$900.$ The cost of the merchandise sold was $$800.$

$6$ Received $$75$ credit for books returned to Catlin Publishers.

$9$ Paid Catlin Publishers in full.

$15$ Received payment in full from Garfunkel Bookstore.

$17$ Sold books on account to Bell Tower for $$1,500.$ The cost of the merchandise sold was $$800.$

$20$ Purchased books on account for $$800$ from Priceless Book Publishers, terms $\frac{3}{15},\frac{n}{30}.$

$24$ Received payment in full from Bell Tower.

$26$ Paid Priceless Book Publishers in full.

Sold books on account to General Bookstore for $$1,000.$ The cost of the merchandise sold was $$800.$

$30$ Granted General Bookstore $$290$ credit for books returned costing $$70.$

Journalize the transactions for the month of June for Ivanhoe Warehouse, using a perpetual inventory system. $($If no entry is required,

select $"$No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered.

Do not indent manually. Record journal entries in the order presented in the problem. List all debit entries before credit entries.$)$

Answer & Explanation Solved by verified expert

See Answer