04 GL P4-1a ts 1 eBook MCC McGraw Hill Connect 218.mheducation.c M Question 1- Ch 04 GL P4-1a Saved shipping point, invoice dated July 31. July 31 Sold merchandise that cost $6,800 to Wilson Company for $11,400 under credit terms of 2/10, n/69 Requirement General Journal General Ledger Trial Balance Schedule of Receivables Schedule of Payables Income Statement Impact on Income For each transaction, indicate the impact each item had on income and the dollar amount of the change in income, if any. on the partial income statement. Input decreases to net income as minus sign. Upon completion, compare the gross profit with the amount reported Impact on income Increase (decrease) to income Ask July 1) Purchased merchandise from Griffin Company for $10,400 under credit terms of 1/15, n/30, FOB shipping point, invoice dated July 1. No impact on income Print erences July 2) Sold merchandise to Wilson Company for $3,100 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. July 2) The cost of the merchandise sold to Wilson Company was $1,860. July 3) Paid $1,005 cash for freight charges on the purchase of July 1. July 8) Sold merchandise for $6,100 cash. July 8) The cost of the merchandise sold was $3,700. July 9) Purchased merchandise from Lee Company for $4,400 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9. July 11) Received a $900 credit memorandum from Lee Company for the return of part of the merchandise purchased on July 9. July 12) Received the balance due from Wilson Company for the invoice dated July 2, net of the discount. July 16) Paid the balance due to Griffin Company within the discount period. July 19) Sold merchandise to Garcia Company for $5,600 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19. July 19) The cost of the merchandise sold to Garcia Company was $3,900. July 21) Issued a $1,100 credit memorandum to Garcia Company for an allowance on goods sold on July 19. July 24) Paid Lee Company the balance due, net of discount. July 30) Received the balance due from Garcia Company for the invoice dated July 19, net of discount. July 31) Sold merchandise to Wilson Company for $11,400 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31. July 31) The cost of the merchandise sold to Wilson Company was $6,800. Total gross profit Increases net income Decreases net income No impact on income Increases net income Decreases net income No impact on income No impact on income Decreases net income No impact on income Increases net income Decreases net income Decreases net income No impact on income Decreases net income Increases net income Decreases net income $ 0 W

Journalize the following transactions in general journal form. a. Bought merchandise on account from Brewer, Inc., invoice no. B2997, 914; terms net 30 days; FOB destination. b. Received credit memo no. 96 from Brewer, Inc., for merchandise returned, 238.

Purchase-related transactions The following selected transactions were completed by Epic Co. during August of the curr ent year: Aug. 3. Purchased merchandise on account for $33400, terms FOB destination. 2/10. n/30. 9. Issued debit memorandum for $2500 ($2450 net of 2% discount) for merchandise from the August 3 purchase that was damaged in shipment. 10. Purchased merchandise on account, $25,000, terms FOB shipping point, n/com. Paid $600 cash to the freight company for delivery of the merchandise. 13. Paid for invoice of August 3, less debit memorandum of August 9 31. Paid for invoice of August 10. Instructions Illustrate the effects of each of the preceding transactions on the accounts and financial statements of Epic Co. Identify each transaction by date.

Record the following transactions in general journal form for Ford Education Outfitters and Romero Textbooks, Inc. a. Ford Educational Outfitters bought merchandise on account from Romero Textbooks, Inc., invoice no. 10594, 1,875.34; terms net 30 days; FOB destination. Romero Textbooks, Inc., paid 93.80 for shipping. b. Ford Education Outfitters received credit memo no. 513A from Romero Textbooks, Inc., for merchandise returned, 135.78.