Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method. April 2 Purchased $5,200 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. April 3 Paid $300 cash for shipping charges on the April 2 purchase. April 4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $800. April 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. April 18 Purchased $9,700 of merchandise from Frist Corporation with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination. April 21 After negotiations over scuffed merchandise, received from Frist a $500 allowance toward the $9,700 owed on the April 18 purchase. April 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount. View transaction list Journal entry worksheet < 1 2 Date April 02 3 4 Note: Enter debits before credits. Purchased $5,200 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. Record entry 5 General Journal 6 7 Clear entry Debit Credit View general journal
Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method. April 2 Purchased $5,200 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. April 3 Paid $300 cash for shipping charges on the April 2 purchase. April 4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $800. April 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. April 18 Purchased $9,700 of merchandise from Frist Corporation with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination. April 21 After negotiations over scuffed merchandise, received from Frist a $500 allowance toward the $9,700 owed on the April 18 purchase. April 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount. View transaction list Journal entry worksheet < 1 2 Date April 02 3 4 Note: Enter debits before credits. Purchased $5,200 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. Record entry 5 General Journal 6 7 Clear entry Debit Credit View general journal
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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Transcribed Image Text:Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the
gross method.
April 2 Purchased $5,200 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and
FOB shipping point.
April 3 Paid $300 cash for shipping charges on the April 2 purchase.
April 4
Returned to Lyon Company unacceptable merchandise that had an invoice price of $800.
April 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise.
April 18 Purchased $9,700 of merchandise from Frist Corporation with credit terms of 1/10, n/30, invoice dated April 18,
and FOB destination.
April 21
After negotiations over scuffed merchandise, received from Frist a $500 allowance toward the $9,700 owed on the
April 18 purchase.
April 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount.
View transaction list
Journal entry worksheet
2
Purchased $5,200 of merchandise from Lyon Company with credit terms of
2/15, n/60, invoice dated April 2, and FOB shipping point.
Note: Enter debits before credits.
Date
April 02
4 5 6 7
Record entry
General Journal
Clear entry
Debit
Credit
View general journal
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