54. An Entity buys a merchandise for P10,000 which include a VAT. It sells the same article for P13,000. The entry to record the purchase of merchandise and the sale of the same merchandise are A. Debit: Purchases; Credit: Cash and Input Tax for the purchase of merchandise Debit: Cash, and Output Tax; Cr: Sales for sale of the merchandise B. Debit: Purchases and Input Tax; Credit:Cash for the purchase of merchandise Debit: Cash, and Output Tax; Credit: Sales for the sale of merchandise C. Debit: Purchases and Input Tax; Credit Cash for the purchase of merchandise Debit: Cash; Credit: Sales and Output Tax for the sale of merchandise D. Debit: Cash and Input Tax; Credit: Purchases for the purchase of merchandise Debit: Sales; Credit Cash and Output Tax for the sale of merchandise

54. An Entity buys a merchandise for P10,000 which include a VAT. It sells the same article for P13,000. The entry to record the purchase of merchandise and the sale of the same merchandise are A. Debit: Purchases; Credit: Cash and Input Tax for the purchase of merchandise Debit: Cash, and Output Tax; Cr: Sales for sale of the merchandise B. Debit: Purchases and Input Tax; Credit:Cash for the purchase of merchandise Debit: Cash, and Output Tax; Credit: Sales for the sale of merchandise C. Debit: Purchases and Input Tax; Credit Cash for the purchase of merchandise Debit: Cash; Credit: Sales and Output Tax for the sale of merchandise D. Debit: Cash and Input Tax; Credit: Purchases for the purchase of merchandise Debit: Sales; Credit Cash and Output Tax for the sale of merchandise

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter10: Accounting For Sales And Cash Receipts

Section: Chapter Questions

Problem 2CE: Prepare journal entries for the following sales and cash receipts transactions. (a) Merchandise is...

See similar textbooks

Similar questions

Prepare journal entries for the following sales and cash receipts transactions. (a) Merchandise is sold on account for 300 plus 3% sales tax, with 2/10, n/30 cash discount terms. (b) Part of the merchandise sold in transaction (a) for 70 plus sales tax is returned for credit. (c) The balance on account for the merchandise sold in transaction (a) is paid in cash within the discount period.
A sales invoice included the following information: merchandise price, P4,100; transportation, P320; terms 1/10, n/EOM, FOB destination. Assuming that a credit for merchandise returned of P605 is granted prior to payment, that the transportation is prepaid by the seller, and the invoice is paid within the discount period, what is the amount of cash received by the seller? O A. 3,780.05 O B. 3,776.85 C. 3,460.05 O D. 3,140.05
A sales invoice included the following information: merchandise price, P5,000; freight, P900; terms 1/10, n/eom, FOB shipping point. Assuming that a credit for merchandise returned of P700 is granted prior to payment and that the invoice is paid within the discount period, what is the amount of cash that should be received by the seller 4,257 4,300 5,157 4,950
Assume the following information: merchandise is sold on account to customer for P120,000, FOB Shipping Point, 2/10, n/30. The seller paid transportation cost of P6,000. What is the amount of remittance due within the discount period?
Merchandise invoiced at $8,900 is sold on terms 1/10, n/30. If the buyer pays within the discount period, what amount will be reported on the income statement as net sales?
Merchandise costing $2,000 is sold for $3,000 on terms 2/10, n/30. If the buyer pays within thediscount period, what amount will be reported on the income statement as net sales and as grossprofit?
Merchandise subject to terms 2/10, n/30, FOB shipping point, is sold on account to a customer for $22,100. What is the amount of sales discount allowable?
Which of the following is an element of the journal entry to account for a purchase of merchandise on account? a). a debit to accounts payable. b). a credit to freight in c). a credit to sales d). a debit to purchases. Kay Sadia sold merchandise for $15,200 subject to a 7% sales tax. The entry in the sales journal will include a credit to Sales tax payable for a). $1,064.00 b). $ 15,200.00 c). $ 16,264.00 d). $ 14,136.00
A sales invoice included the following information: merchandise price, $8,000; terms 2/10, n/eom. Assuming that a credit for merchandise returned of $1,000 is granted prior to payment, and that the invoice is paid within the discount period, what is the amount of cash received by the seller?
A company receives $696, of which $56 is for sales tax. The journal entry to record the sale would include a Select one: a. debit to Sales Tax Expense for $56. b. debit to Sales Taxes Payable for $56. C. debit to Sales Revenue for $696. d. debit to Cash for $696.
A company receives $696, of which $56 is for sales tax. The journal entry to record the sale would include a Select one: a. debit to Cash for $996. b. debit to Sales Taxes Payable for $56. c. debit to Sales Tax Expense for $56. d. The answer does not exist e. debit to Sales Revenue for $696.
17. Merchandise with a sales price of P500 is sold on account with term 2/10, n/30. The journal entry to record the sale would include a a. debit to Cash for P500 b. Debit to Sales Discounts for P10 C. Credit to Sales for P500 d. Debit to Accounts Receivable for P490 18. Merchandise subject to terms 1/10, n/30, FOB shipping point, is sold account to a customer for P15,000. The seller paid transportation costs et P1,000 and issued a credit memorandum for P5,000 prior to payment. What i the amount of the cash discount allowable? a. P160 b. P150 c. P140 d. P100 19. The entry to record the return of merchandise from a customer would include a a. debit to Sales b. credit to Sales c. debit to Sales Returns and Allowances d. credit to Sales returns and Allowances 20. A sales invoice included the following information: merchandise price, P4,000; transportation, P300; terms 1/10, n/eom, FOB shipping point. Assuming tha credit for merchandise returned of P600 is granted prior to payment, trhat…