90.2K
Verified Solution
Link Copied!
Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method.
| Apr. | | 2 | | Purchased $6,900 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. |
| | | 3 | | Paid $200 cash for shipping charges on the April 2 purchase. |
| | | 4 | | Returned to Lyon Company unacceptable merchandise that had an invoice price of $500. |
| | | 17 | | Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. |
| | | 18 | | Purchased $13,100 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination. |
| | | 21 | | After negotiations, received from Frist a $600 allowance toward the $13,100 owed on the April 18 purchase. |
| | | 28 | | Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount. |
Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount.
April 28th
Answer & Explanation
Solved by verified expert
