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Objective 2 E5-17 Journalizing pu rchase transactions Hartford Jewelers had the

ID: 2418056 • Letter: O

Question

Objective 2 E5-17 Journalizing pu rchase transactions Hartford Jewelers had the following purchase transactions. Journalize all necessary transactions. Explanations are not required. ferch. Inv. $90 Purchased inventory of $5,400 on account from Surry Diamonds, a jewelry importer. Terms were 3/15, n/45, FOB shipping point Jun. 20 20 Paid freight charges, $300. Jul. 4 Returned $900 of inventory to Surry 14 Paid Surry Diamonds, less return. 16 Purchased inventory of $3,800 on account from Swift Diamonds, a jewelry importer. Terms were 3/10, VEOM, FOB destination. 18 Received a $800 allowance from Swift for damaged but usable goods 24 Paid Swift Diamonds, less allowance and discount.

Explanation / Answer

answer e5-17

20 june Debit credit

inventory a/c dr. 5400

To Surry diamond a/c 5400

freight a/c dr. 300

To cash a/c 300

4 july

surry diamond a/c dr. 900

To Inventory a/c 900

14 july

Surry dismond a/c dr. 4500

To cash a/c 4500

16 july

inventoyr a/c dr. 3800

to swift diamond a.c 3800

18 july

swift diamond a/c dr 800

to inventory a/c 800

24 july

swift diamond a/c dr. 3000

to cash 2700

to discount 300

answer e5-19

20 june

account receivable a/c dr. 10000

to sale a/c 10000

8 july

sale a/c dr. 300

to account receivable a/c 300

13 july

cash a/c dr. 9603

discount a.c dr. 97

To account receivable 9700

20 july'

account receivbale a/c dr. 5200

to sale a/c 5200

freight a/c dr. 120

to cash a/ c 120

25 july

allowance a/c dr. 500

to account receivable 500

29 july

cash a/ c dr. 4653

discount a/c dr. 47

to accounts receivbale 4700