Journalize the following transactions in the accounts of Sedona Interiors Compan

Question

Journalize the following transactions in the accounts of Sedona Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables. May 1. Sold merchandise on account to Beijing Palace Co., $16,900. The cost of the merchandise sold was $12,200. Aug. 30 Received $4,400 from Beijing Palace Co. and wrote off the remainder owed on the sale of May 1 as uncollectible Dec. 8. Reinstated the account of Beijing Palace Co. that had been written off on August 30 and received $12,500 cash in full payment. For a compound transaction, if an amount box does not require an entry, leave it blank. May 1-sale Accounts Receivable-Beljing Palace Co. Sales Cost of Merchandise Sold May 1-cost_ Merchandise Inventory Y Aug. 30 cash Allowance for Doubtful Accounts Accounts Receivable-Belijing Palace Co. Dec, 8-reinstated Accounts Receivable-Beijing Palace Co. Allowance for Doubtful Accounts Dec. 8-collection Cash Accounts Receivable-Beijing Palace Co

Explanation / Answer

Journal entry :

Date account and explantion debit credit May 1-sales Account receivable-Beijing palace Co 16900 Sales 16900 May 1-Cost Cost of merchandise sold 12200 Merchandise inventory 12200 Apr 30 Cash 4400 Allowance for doubtful accounts 12500 Account receivable-Beijing palace Co 16900 Dec 8-reinstated Account receivable-Beijing palace co 12500 Allowance for doubtful accounts 12500 Dec 8-Collection Cash 12500 Account receivable-Beijing palace Co 12500

Related Questions

Navigate

• Browse (All)
• Browse J
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.