ohn’s Specialty Store uses a perpetual inventory system. The following are some inventory transactions for themonth of May 2018:1. John’s purchased merchandise on account for $5,000. Freight charges of $300 were paid in cash.2. John’s returned some of the merchandise purchased in (1). The cost of the merchandise was $600 and John’saccount was credited by the supplier.3. Merchandise costing $2,800 was sold for $5,200 in cash.Required:Prepare the necessary journal entries to record these transactions.
ohn’s Specialty Store uses a perpetual inventory system. The following are some inventory transactions for themonth of May 2018:1. John’s purchased merchandise on account for $5,000. Freight charges of $300 were paid in cash.2. John’s returned some of the merchandise purchased in (1). The cost of the merchandise was $600 and John’saccount was credited by the supplier.3. Merchandise costing $2,800 was sold for $5,200 in cash.Required:Prepare the necessary journal entries to record these transactions.
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 7E: Record the following transactions for a perpetual inventory system in general journal form. a. Sold...
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ohn’s Specialty Store uses a perpetual inventory system. The following are some inventory transactions for the
month of May 2018:
1. John’s purchased merchandise on account for $5,000. Freight charges of $300 were paid in cash.
2. John’s returned some of the merchandise purchased in (1). The cost of the merchandise was $600 and John’s
account was credited by the supplier.
3. Merchandise costing $2,800 was sold for $5,200 in cash.
Required:
Prepare the necessary
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