Dog 9. Elijah uses the perpetual inventory system. On July 5, Elijah returned $12,000 of goodspurchased on account to the seller.How would Elijah record this transaction?A) Accounts PayableInventoryB) Accounts ReceivableInventoryC) Accounts PayablePurchasesD) CashPurchases12,000A) Credit to Purchase ReturnsB) Debit to InventoryC) Credit to Accounts PayableD) Debit to Cost of Goods Sold12,00012,00012,00012,00012,00012,00012,00010. Using a periodic inventory system, the buyer's journal entry to record the return of merchandisepurchased on account includes a:11. All merchandise purchased for resale by a firm is initially recorded in the Purchases accountwhen the firm uses the periodic inventory system.a. Trueb. False

Hi studentSince there are multiple questions, we will answer only first question.Perpetual inventory…

9. Elijah uses the perpetual inventory system. On July 5, Elijah returned $12,000 of goods purchased on account to the seller. How would Elijah record this transaction? A) Accounts Payable Inventory B) Accounts Receivable Inventory C) Accounts Payable Purchases D) Cash Purchases 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000

9. Elijah uses the perpetual inventory system. On July 5, Elijah returned $12,000 of goods purchased on account to the seller. How would Elijah record this transaction? A) Accounts Payable Inventory B) Accounts Receivable Inventory C) Accounts Payable Purchases D) Cash Purchases 12,000 12,000 12,000 12,000 12,000 12,000 12,000 12,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 11MC: A retailer returns $400 worth of inventory to a manufacturer and receives a full refund. What...

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A retailer returns $400 worth of inventory to a manufacturer and receives a full refund. What accounts recognize this return before the retailer remits payment to the manufacturer? A. accounts payable, merchandise inventory B. accounts payable, cash C. cash, merchandise inventory D. merchandise inventory, cost of goods sold
A customer returns $690 worth of merchandise and receives a full refund. What accounts recognize this sales return, assuming the customer has not yet remitted payment to the retailer? A. accounts receivable, sales returns and allowances B. accounts receivable, cash C. sales returns and allowances, purchases D. sales discounts, cost of goods sold
A seller sells $800 worth of goods on credit to a customer, with a cost to the seller of $300. Shipping charges are $100. The terms of the sale are 2/10, n/30, FOB Destination. What, if any, journal entry or entries will the seller record for these transactions?
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 customer returns $870 worth of merchandise and receives a full refund. What accounts recognize this sales return (disregarding the merchandise condition entry) if the return occurs before the customer remits payment to the retailer? A. accounts receivable, sales returns and allowances B. accounts receivable, cash C. sales returns and allowances, merchandise inventory D. accounts receivable, cost of goods sold
Brett Co. paid $220 to Paul Co. and received a $10 purchases discount. Journalize the entry. Journalize the entry for Brett Co. Assume the perpetual inventory system. (The amount paid of $220 is the net amount due after applying the discount. Record debits first, then credits. Exclude explanations from journal entries.)
Prepare journal entries for the SALES (Jane, seller) side of the purchase transactions above: October 1: Jane sold $1,000 of goods on account. Terms of the sale are 4/10, n 30. The invoice is dated October 1. Assume the cost of the inventory to Jane (amount she purchased it for) is $700. Record Jane’s entry. 1: Perpetual 2:Periodic October 7: Jake returned $50 of the $1,000 of goods from the October 1 purchase and received full credit. The cost of this inventory to Jane is $30. Record Jane’s entry. 1: Perpetual 2: Periodic October 11: Jake paid the amount due from the October 1 purchase, less the return on October 7. Record Jane’s entry. 1: Perpetual 2:Periodic October 3: Jake paid Jane $30 cash for freight charges from UPS for the October 1 purchase. Record Jane’s entry. 1: Perpetual 2: Periodic
Journalize the following transactions. Assume the perpetual inventory system. (Record debits first, then credits. Exclude explanations from journal entries.) December 4: Sold merchandise for $450 cash. The cost of merchandise was $350. Begin by journalizing the revenue from the sale of merchandise. Do not record the cost of the sale yet. We will do that in the following step.
Patrick Morse returned $305 (selling price) of merchandise to Lapierre Co. The merchandise was purchased on credit. The cost of the merchandise to Lapierre Co. is $205. What would be the journal entry on the books of both the buyer and seller? Assume the perpetual inventory system. (Record debits first, then credits. Exclude explanations from journal entries.)
When using perpetual inventory system, which of the entry or entries correctly record(s) the return of merchandise by a cash customer on Jan. 15 that was sold the previous year? The selling price of the returned merchandise was $6,000 and the merchandise originally cost $4,200. The customer was given a cash refund.
еВook Show Me How Recording Purchases Dawson Enterprises uses the perpetual system to record inventory transactions. Dawson had the following transactions in April: a. On April 1, Dawson purchased merchandise on credit for $21,900 with terms 2/10, n/30. b. On April 2, Dawson purchased merchandise on credit for $23,400 with terms 3/15, n/25. c. On April 9, Dawson paid for the purchase made on April 1. d. On April 25, Dawson paid for the merchandise purchased on April 2. Required: Prepare journal entries for these four transactions. If an amount box does not require an entry, leave it blank. April 1 Inventory Accounts Payable April 2 Inventory Accounts Payable April 9 Accounts Payable Cash Inventory April 25 Accounts Payable Cash Feedback Check My Work From the buyer's perspective, the historical cost principle implies that inventory cost will include the purchase price of the inventory plus any cost of bringing the goo nondition and loontion Prew Check My Work
A seller uses a perpetual inventory system, and on April 4, it sells $5,000 in merchandise to a customer on credit terms of 3/10, n/30. On April 13, the seller receives payment from the customer. Note: Enter debits before credits. Date April 13 General Journal Debit Credit