FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Transcribed Image Text:Selected transactions for the year:
$13,390
9,105
Nov. 5
Sales price of lumber on account to Shinwari Construction
Cost of lumber sold on account to Shinwari Construction
Purchase price of tools on account from Pakistan Power Tool
Cash collected on receivable from Shinwari Construction
3,800
13,390
3,800
Nov. 9
Dec. 5
Dec. 9
Cash paid on account to Pakistan Power Tool
Dec. 31 Cost of inventory on hand
Inventory according to accounting records
Cost of goods sold according to accounting records
182,080
183,790
695,222
Additional information:
Net sales for year
1,024,900
$18,000 to
Range of additional transportation costs
Average nets sales for industry
Average gross profit margin for industry
$20,000
1,000,000
25%
Required:
(a) Prepare the journal entries for Shinwari Construction?
(b) Prepare the journal entries for Pakistan Power Tool?
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