On June 10, Tuzun Company purchased $8,000 of merchandise on account from Epps Company, FOB shipping point. terms 2/10, n/30, Tuzun Company pays the freight costs of $400 on June 11. Damaged goods totaling $300 are returne to Epps for credit on June 12. The fair value of these goods is $70. On June 19, Tuzun Company pays Epps Company in full, less the purchase discount. Both companies use a perpetual inventory system. Preparé separate entries for each transaction on the books of Tuzun Comnpany. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 fer the amounts. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Credit Debit June 10 v Inventory 8000 Accounts Payable 8000 June 11 v Inventory 400 Cash 400 June 12 v Accounts Payable 300 Inventory 300 June 19 v Accounts Payable 7700 Cash 7546 Purchase Discounts 154
On June 10, Tuzun Company purchased $8,000 of merchandise on account from Epps Company, FOB shipping point. terms 2/10, n/30, Tuzun Company pays the freight costs of $400 on June 11. Damaged goods totaling $300 are returne to Epps for credit on June 12. The fair value of these goods is $70. On June 19, Tuzun Company pays Epps Company in full, less the purchase discount. Both companies use a perpetual inventory system. Preparé separate entries for each transaction on the books of Tuzun Comnpany. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 fer the amounts. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Credit Debit June 10 v Inventory 8000 Accounts Payable 8000 June 11 v Inventory 400 Cash 400 June 12 v Accounts Payable 300 Inventory 300 June 19 v Accounts Payable 7700 Cash 7546 Purchase Discounts 154
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter9: Sales And Purchases
Section: Chapter Questions
Problem 10E: Kelley Company has completed the following October sales and purchases journals: a. Total and post...
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