Journalize the following transactions assuming the perpetual inventory system: J
ID: 2374593 • Letter: J
Question
Journalize the following transactions assuming the perpetual inventory system:
July 3
Sold merchandise on account $3,750. The cost of the merchandise sold was $2,000.
July 5
Issued credit memo for $1,050 for merchandise returned from sale on July 3rd.
The cost of the merchandise returned was $610.
July 12
Received check for the amount due for sale on July 3rd less return on July 5th.
July 17
Sold merchandise for $7,000 plus 6% sales tax to cash customers. The cost of the merchandise sold was $3,830.
Journal
Date
Description
Post Ref
Debit
Credit
July 3
Accounts Payable
Cash
3,750
3,750
Journalize the following transactions assuming the perpetual inventory system:
July 3
Sold merchandise on account $3,750. The cost of the merchandise sold was $2,000.
July 5
Issued credit memo for $1,050 for merchandise returned from sale on July 3rd.
The cost of the merchandise returned was $610.
July 12
Received check for the amount due for sale on July 3rd less return on July 5th.
July 17
Sold merchandise for $7,000 plus 6% sales tax to cash customers. The cost of the merchandise sold was $3,830.
Journal
Date
Description
Post Ref
Debit
Credit
July 3
Accounts Payable
Cash
3,750
3,750
Explanation / Answer
Hi,
Please find the answer as follows:
July 3
Accounts Receivable Dr. 3750
Sales Cr. 3750
Cost of Goods Sold Dr. 2000
Merchandise Inventory Cr. 2000
July 5
Sales Returns and Allowance Dr. 1050
Accounts Receivable Cr. 1050
Merchandise Inventory Dr. 610
Cost of Goods Sold Cr. 610
July 12
Cash Dr. (3750 - 1050) 2700
Accounts Receivable Cr. 2700
July 17
Cash Dr. (7000 + 6%*7000) 7420
Sales Cr. 7000
Sales Tax Collected Cr. 420
Cost of Goods Sold Dr. 3830
Merchandise Inventory Cr. 3830
Thanks.
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