Award: 2.50 points Exercise 4-3 Recording purchases, purchases returns, and purc

Question

Award: 2.50 points Exercise 4-3 Recording purchases, purchases returns, and purchases allowances LO P 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 $3,200 of merchandise from Lyon Company with credit terms of 2/15, nv60, invoice dated Apil 2, and FOB shipping point 3 Paid $290 cash for shipping charges on the April 2 purchase 4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $550. 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. 18 Purchased $5,700 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 $5,700 owed on the April 18 purchase. 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount. ew transaction list Journal entry worksheet Purchased $3,200 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. Note: Enter debits before credits. General Journal Debit Credit Date Apr 02 View general journal Hints Hint #1 tpxPtodo c15Single PrintView&singleQuestionNo-3.;&postSubmissionView-132527073472503528wid-13252707374172093;&

Explanation / Answer

Journal Entries: Date Accounts title and explanations Debit $ Credit $ 2-Apr Inventory Dr. 3200     Accounts payable-lyon company 3200 3-Apr Inventory Dr. 290       cash 290 4-Apr Accounts payable-Lyon Company Dr. 550     Inventory Account 550 17-Apr Accounts payable-Lyon Company Dr. 3650      Cash Account (3650*98%) 3577       Inventory Account (3650*2%) 73 18-Apr Inventory Dr. 5700       Accounts payable -Frist Corp 5700 21-Apr Accounts Payable-Frist Corp Dr. 600     Inventory Account 600 28-Apr Accounts payable-Frist Corp Ddr. 5100        Cash Account (5100*99%) 5049         Inventory Account (5100*1%) 51

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

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