Prepare the necessary journal entries on the books of Kelly Carpet Company to record the following transactions, assuming a perpetual inventory system Kelly purchased $45,000 of merchandise on account, terms 2/10, n/30. Returned $3,000 of damaged merchandise for credit. Paid for the merchandise purchased within 10 days. (a) (b) (c) (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. (a) (b) (c) Account Titles and Explanation Inventory Accounts Payable Accounts Payable Inventory Accounts Payable Cash Purchase Discounts Debit 45,000 3,000 42,000 Credit 45,000 3,000 41,160 840

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Prepare the necessary journal entries on the books of Kelly Carpet Company to record the following transactions, assuming a perpetual inventory system:
Kelly purchased $45,000 of merchandise on account, terms 2/10,n/30.
Returned $3,000 of damaged merchandise for credit.
Paid for the merchandise purchased within 10 days.
(a)
(b)
(c)
(Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Account Titles and Explanation
No.
(a)
(b)
(c)
Inventory
Accounts Payable
Accounts Payable
Inventory
Accounts Payable
Cash
Purchase Discounts
Debit
45,000
3,000
42,000
Credit
45,000
3,000
41,160
840
Transcribed Image Text:Prepare the necessary journal entries on the books of Kelly Carpet Company to record the following transactions, assuming a perpetual inventory system: Kelly purchased $45,000 of merchandise on account, terms 2/10,n/30. Returned $3,000 of damaged merchandise for credit. Paid for the merchandise purchased within 10 days. (a) (b) (c) (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Account Titles and Explanation No. (a) (b) (c) Inventory Accounts Payable Accounts Payable Inventory Accounts Payable Cash Purchase Discounts Debit 45,000 3,000 42,000 Credit 45,000 3,000 41,160 840
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