Journalize the following transactions of Moonraker Sales, assuming the company u
ID: 2354474 • Letter: J
Question
Journalize the following transactions of Moonraker Sales, assuming the company uses the perpetual method. Don't forget to include explanation: July 3- purchased $1000 of inventory with terms 2/10, n/eom. 7- returned $300 of defective merchandise purchased on july 3. 9- paid freight bill of $110 on the july 3 purchase. 10- sold inventory for $2200 collecting cash of $400 payment terms on the remainder were 2/15, n/30 these goods cost moonraker sales 1300. 12- paid the amount owed on credit purchase on july 3 less the discount and the return. 16- granted a sales allowance(reduction of the original sales price bc of some slight defect) of 800 on july 10. 23- received cash from the july 10 customer in full settlement of the debt less the allowance and the discount.Explanation / Answer
July 3- purchased $1000 of inventory with terms 2/10, n/eom. 3 Jul Merch Inv Dr1000 Acct Payable Cr 1000 (Buys Merch , Terms 2/10, n/eom) 7- returned $300 of defective merchandise purchased on july 3. 7 Jul Acct Paybable Dr 300 Merch Inv Cr 300 9- paid freight bill of $110 on the july 3 purchase. 9 Jul Freight Exp Dr 110 Cash Cr 110 10- sold inventory for $2200 collecting cash of $400 payment terms on the remainder were 2/15, n/30 these goods cost moonraker sales 1300. 10 Jul Cash Dr 400 Acct Rx Dr 1800 Sales Cr 2200 10 Jul Cost of goods sold Dr 1300 Merchandise inventory Cr 1300 (Sales terms 2/15, n/30) 12- paid the amount owed on credit purchase on july 3 less the discount and the return. 12 Jul Acct Payable Dr 700 Cash Cr 686 Purch Disc Cr14 (2%*(1000-300) = 14, So Cash 700-14=686 16- granted a sales allowance(reduction of the original sales price bc of some slight defect) of 800 on july 10. 16 Jul Sales Allow Dr 800 Acct Rx Cr 800 23- received cash from the july 10 customer in full settlement of the debt less the allowance and the discount. 23 Jul Cash Dr 980 Sales Disc Dr 20 Acct Rxa Cr 1000 (Sales 1800-800 Sales Allow = 1000, Disc 2%*1000 = 20)
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.