Sims Company regularly sells merchandise to Laurier Supply on terms 2/15, n/30 and records sales at gross. During a recent month, the two firms engaged in the following transactions: a. Sims sold merchandise with a list price of $38,400. b. Sims sold merchandise with a list price of $48,000. c. Laurier paid for the purchase in Transaction a within the discount period. d. Laurier paid for the purchase in Transaction b after the discount period. Required: 1. Provide the journal entries for Sims to record the sales in Transactions a and b. (a) Record sale (b) Record sale 2. Record the journal entry for Sims to record the receipt of Laurier's payment in Transaction c. For those boxes in which no entry is required, leave the box blank. (c) Record collection of cash within discount period 3. Record the journal entry for Sims to record the receipt of Laurier's payment in Transaction d. (d) Record collection of cash after discount period 4. CONCEPTUAL CONNECTION: What implied annual interest rate is Laurier incurring by failing to take the sales discount and, instead, paying the gross amount after 30 days? If required, round your answer to two decimal places. %

On June 10, Sunland Company purchased $7,800 of merchandise from Blossom Company, terms 4/10, n/30. Sunland Company pays the freight costs of $370 on June 11. Goods totaling $800 are returned to Blossom Company for credit on June 12. On June 19, Sunland Company pays Blossom Company in full, less the purchase discount. Both companies use a perpetual inventory system     (b)     Prepare separate entries for each transaction for Blossom Company. The merchandise purchased by Blossom Company on June 10 cost McGiver $3,180, and the goods returned cost Blossom Company $210. (If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit choose a transaction date…

The following information was drawn from the Year 1 accounting records of Ozark Merchandisers: Inventory that had cost $21,200 was sold for $39,900 under terms 2/20, net/30. Customers returned merchandise to Ozark five days after the purchase. The merchandise had been sold for a price of $1,520. The merchandise had cost Ozark $920. All customers paid their accounts within the discount period. Selling and administrative expenses amounted to $4,200. Interest expense paid amounted to $360. Land that had cost $8,000 was sold for $9,250 cash. Requireda. Determine the amount of net sales. (Round your intermediate calculations and final answer to the nearest whole dollar amount.)     b. Prepare a multistep income statement. (Round your intermediate calculations and final answer to the nearest whole dollar amount. Amounts to be deducted and losses should be indicated with a minus sign.)     c. Where would the interest expense be shown on the statement of cash flows?  Operating activities…

The following are selected transactions of Molina Company. Molina sells in large quantities to other companies and also sells its product in a small retail outlet. March 1 6 Sold merchandise on account to Dodson Company for $5,000, terms 2/10, n/30. Dodson Company returned merchandise with a sales price of $500 to Molina. Molina collected the amount due from Dodson Company from the March 1 sale. 15 Molina sold merchandise for $400 in its retail outlet. The customer used his Molina credit card. 31 Molina added 1.5% monthly interest to the customer's credit card balance. Prepare journal entries for the transactions above. (Ignore cost of goods sold entries and explanations.) (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation March 1 く Accounts Receivable Sales Revenue March 3 く Sales Returns and Allowances Accounts Receivable Debit Credit