The following information is from Tejas WindowTint's financial records. Month Sales Purchases $72,000 66,000 60,000 78,000 April May $42,000 48,000 36,000 54,000 June July Collections from customers are normally 70 percent in the month of sale, 20 percent in the month following the sale, and 9 percent in the second month following the sale. The balance is expected to be uncollectible. All purchases are on account. Management takes full advantage of the 2 percent discount allowed on purchases paid for by the tenth of the following month. Purchases for August are budgeted at $60,000, and sales for August are forecasted at $66,000. Cash disbursements for expenses are expected to be $14,400 for the month of August. The company's cash balance on August 1 was $22,000. Required: 1. Prepare the expected cash collections during August. 2. Prepare the expected cash disbursements during August. 3. Calculate the expected cash balance on August 31.

The records of Carla's Boutique report the following data for the month of April. Sales revenue $95,600 Purchases (at cost) $47,200 Sales returns 1,800 Purchases (at sales price) 85,800 Markups 9,500 Purchase returns (at cost) 1,800 Markup cancellations 1,400 Purchase returns (at sales price) 2,800 Markdowns 8,600 Beginning inventory (at cost) 36,103 Markdown cancellations 2,700 Beginning inventory (at sales price) 50,600 Freight on purchases 2,100 Compute the ending inventory by the conventional retail inventory method. (Round ratios for computational purposes to O decimal places, eg 78% and final answer to O decimal places, eg. 28,987.) Ending inventory using conventional retail inventory method 2$

At the beginning of July, CD City has a balance in inventory of $3,400. The following transactions occur during the month of July.July 3 Purchase CDs on account from Wholesale Music for $2,300, terms 1/10, n/30.July 4 Pay cash for freight charges related to the July 3 purchase from Wholesale Music, $110.July 9 Return incorrectly ordered CDs to Wholesale Music and receive credit, $200.July 11 Pay Wholesale Music in full.July 12 Sell CDs to customers on account, $5,800, that had a cost of $3,000.July 15 Receive full payment from customers related to the sale on July 12.July 18 Purchase CDs on account from Music Supply for $3,100, terms 1/10, n/30.July 22 Sell CDs to customers for cash, $4,200, that had a cost of $2,500.July 28 Return CDs to Music Supply and receive credit of $300.July 30 Pay Music Supply in full.Required:1. Assuming that CD City uses a perpetual inventory system, record the transactions.2. Prepare the top section of the multiple-step income statement through gross profit…

Digital World is a retail store that sells cameras and photography supplies. The firm’s credit purchases and purchases returns and allowances transactions for June 20X1 appear below, along with the general ledger accounts used to record these transactions. The balance shown in Accounts Payable is for the beginning of June. June 1   Purchased instant cameras for $1,850 plus a freight charge of $130 from Pro Photo Equipment, Invoice 4241, dated May 27; the terms are 60 days net.   8   Purchased film for $1,374 from Photo Supplies, Invoice 1102, dated June 3, net payable in 45 days.   12   Purchased lenses for $896 from Nano Glass, Invoice 7282, dated June 9; the terms are 1/10, n/60.   18   Received Credit Memorandum 110 for $300 from Pro Photo Equipment for defective cameras that were returned; they were originally purchased on Invoice 4241, dated May 27.   20   Purchased color film for $1,000 plus freight of $55 from Photo Supplies, Invoice 1148, dated June 15, net…

D. The following selected account balances were taken from the records of J. Gucela Company, for the month of January 20B. (VAT of 12% is billed separately). Purchases P100,000 10,000 5,000 80,000 6,000 7,000 Purchase Returns & Allowances Purchase Discounts Sales Sales Returns and Allowances Sales Discounts 3 - Required: 1. Compute the Input Tax 2. Compute the Output Tax 3. Compute the Prepaid Tax 4. Entry to close the Output Tax to Input Tax 5. Where do we show the Prepaid Tax in the Financial Statements?

The Comet Company, Inc. uses the perpetual inventory system. Their credit terms are 2/10, n/30. They sell one product at a price of $500 and it costs Comet $300. Requirement: Prepare journal entries for the Comet Company, Inc. for the transactions listed below. On May 1, Comet sold 10 items of merchandise inventory to J. Miller on account. On May 2, Comet collected $23,520 cash from customer sales on credit in the prior month, all within the discount period. On May 3, Comet sold 5 items of merchandise to S. Wendell on account. On May 9, Comet receives payment from S. Wendell on the May 3 sale. On May 12, Comet receives payment from J. Miller on the May 1 sale. On May 14, S. Wendell returns one of the items purchased on May 3 for a cash refund because it was defective.

The records of Ellen’s Boutique report the following data for the month of April. Sales revenue $99,000      Purchases (at cost) $48,000 Sales returns 2,000      Purchases (at sales price) 88,000 Markups 10,000      Purchase returns (at cost) 2,000 Markup cancellations 1,500      Purchase returns (at sales price) 3,000 Markdowns 9,300      Beginning inventory (at cost) 30,000 Markdown cancellations 2,800      Beginning inventory (at sales price) 46,500 Freight on purchases 2,400       Instructions Compute the ending inventory by the conventional retail inventory method. The records of Ellen’s Boutique report the following data for the month of April. Sales revenue $99,000      Purchases (at cost) $48,000 Sales returns 2,000      Purchases (at sales price) 88,000 Markups 10,000      Purchase returns (at cost) 2,000 Markup cancellations 1,500      Purchase returns (at sales price) 3,000 Markdowns 9,300…

Concord Book Warehouse Ltd. distributes hardcover books to retail stores. At the end of May, Concord's inventory consists of 240 books purchased at $18 each. Concord uses a perpetual inventory system. Return rates in the book industry are high, with Concord experiencing a 15% return rate historically. During the month of June, the following merchandise transactions occurred: June 1 3 5 8 9 11 12 17 22 25 29 Purchased 180 books on account for $16 each from Reader's World Publishers, terms n/45. Sold 230 books on account to The Book Nook for $25 each, with an assumed average cost of $17, terms n/45. Received a $144 credit for 9 books returned to Reader's World Publishers. Sold 85 books on account to Read-A-Lot Bookstore for $25 each, with an assumed average cost of $17, terms n/45. Issued a $300 credit memorandum to Read-A-Lot Bookstore for the return of 12 damaged books. The books were determined to be no longer saleable and were destroyed. Purchased 130 books on account for $14 each…

Journalize the following entries for purchases, sales, and returns. Friends Hardware store  made the following transactions during the month of March: DATE:   MARCH                       TRANSACTIONS 2 12,000 in inventory was purchased on credit with a 2/13 n/30 term and FOB shipping point. 4 Merchandise for $400 of the purchase made on March 2 was returned because it was defective. 6 Paid shipping for the inventory purchased on March 2. 11 Sold inventory on credit to a customer for $5,000 with a sales term of 2/10 n/30. 12 Paid the purchase due for the March 2 purchase. 15 An allowance was offered to the customer on the March 11 purchase. 20 The customer who made the purchase on March 11 paid in full with the appropriate discounts.

ok nces Bryant Company sells a wide range of inventories, which are initially purchased on account. Occasionally, short-term notes payable are used to obtain cash for current use. The following transactions were selected from those occurring during the year. a. On January 10, purchased merchandise on credit for $21,000. The company uses a perpetual inventory system. b. On March 1, borrowed $46,000 cash from City Bank and signed a promissory note with a face amount of $46,000, due at the end of six months, accruing interest at an annual rate of 6.50 percent, payable at maturity, Required: 1. For each of the transactions, indicate the accounts, amounts, and effects on the accounting equation 2. What amount of cast, is paid on the maturity date of the note? 3. Indicate the impact of each transaction (increase, decrease, and no effect) on the debt-to-assets ratio. Assume Bryant Company had $360,000 in total liabilities and $560,000 in total assets, yielding a debt-to-assets ratio of 0.64,…