correct me if I\'m select account names wrong thank s Sales-Related and Purchase
ID: 2551288 • Letter: C
Question
correct me if I'm select account names wrong thanks
Sales-Related and Purchase-Related Transactions for Seller and Buyer Using Perpetual Inventory System
The following selected transactions were completed during April between Swan Company and Bird Company:
Required:
1. Journalize the April transactions for Bird Company (the buyer).
2. Journalize the April transactions for Swan Company (the seller).
Apr.2. Swan Company sold merchandise on account to Bird Company, $15,100, terms FOB shipping point, 2/10, n/30. Swan Company paid freight of $485, which was added to the invoice. The cost of the merchandise sold was $9,500. 8. Swan Company sold merchandise on account to Bird Company, $31,000, terms FOB destination, 1/15, n/30. The cost of the merchandise sold was $18,600. 8. Swan Company paid freight of $760 for delivery of merchandise sold to Bird Company on April 8. 12. Bird Company paid Swan Company for purchase of April 2. 18. Swan Company paid Bird Company a refund of $2,000 for defective merchandise in the April 2 purchase. Bird Company agreed to keep the merchandise. 23. Bird Company paid Swan Company for purchase of April 8. 24. Swan Company sold merchandise on account to Bird Company, $10,300, terms FOB shipping point, n/45. The cost of the merchandise sold was $6,200. 26. Bird Company paid freight of $320 on April 24 purchase from Swan Company. 30. Swan Company granted a customer allowance (credit memo) to Bird Company for $11,300 for merchandise that was returned from the August 24 purchase. The cost of the merchandise returned was $6,500.Explanation / Answer
Req 1: IN THE BOOKS OF BIRD COMPANY Date Accounts title and explanations Debit $ Credit $ 2-Apr Merchandise inventoryDr. 15585 Accounts payable 15585 8-Apr Merchandise inventoryDr. 31000 Accounts payable 31000 12-Apr Accounts payable Dr. 15585 Merchandise Inventory (15100*2%) 302 Cash 15283 18-Apr Cash Dr. 2000 Merchandise Inventory 2000 23-Apr Accounts payable Dr. 31000 Merchandise Inventory (31000*1%) 310 cash 30690 24-Apr Merchandise inventoryDr. 10300 Accounts payable 10300 26-Apr Merchandise Inventory 320 Cash Account 320 30-Apr Accounts payable Dr. 11300 Merchandise Inventory 11300 Req 2: IN THE BOOKS OF SWAN COMPANY Date Accounts title and explanations Debit $ Credit $ 2-Apr Accounts receivable Dr. 15100 Sales revenue 15100 2-Apr Accounts receivable Dr. 485 Cash 485 2-Apr Cost of Goods sold Dr. 9500 Merchandise Inventory 9500 8-Apr Accounts receivable Dr. 31000 Sales revenue 31000 8-Apr Cost of Goods sold Dr. 18600 Merchandise Inventory 18600 8-Apr Delivery expense Dr. 760 cash 760 12-Apr cash Dr. 15283 Sales discount Dr. (15100*2%) 302 Accounts receivable 15585 18-Apr Sales discount and allowance Dr. 2000 Cash Account 2000 23-Apr cash Dr. 30690 Sales discount Dr. (31000*1%) 310 Accounts receivable 31000 24-Apr Accounts receivable Dr. 10300 Sales revenue 10300 Cost of Goods sold Dr. 6200 Merchandise Inventory 6200 30-Apr Sales return Dr. 11300 Accounts receivable 11300 30-Apr Merchandise Inventory dr. 6500 Cost of Goods sold 6500
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