Principles of Accounting Volume 1
19th Edition
ISBN: 9781947172685
Author: OpenStax
Publisher: OpenStax College
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Chapter 6, Problem 24Q
A customer discovers 50% of the total merchandise delivered from the retailer is damaged. The original purchase for all merchandise was $5,950. The customer decides to return 40% of the damaged merchandise for a full refund and keep the remaining 60%. What is the value of the merchandise returned?
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You delivered a printing press to your customer. When it was delivered, it was slightly dented on one side, but the dent had no effect on the performance of the printing press. To maintain company goodwill, you authorized a P500 reduction in the invoice price if the customer would keep the printing press. The customer accepted the offer. The journal entry to record the P500 would include which of the following?
a. A debit to Sales Discount for P500
b. A credit to Sales Returns and Allowances for P500
c. A credit to Sales Discount for P500
d. A debit to Sales Returns and Allowances for P500
A vegetable stand owner purchases onions at the rate of P350 per kg daily and sells it at the rate of P375 per kg. The unsold product at the end of the day can be disposed off the next day at the salvage value of P275 per kg. Past sales have ranged from 30 to 38 kg per day. What is store owner loss per kg of onion if left unsold?
1. The following events affected Austin's Auto Shop during 2019.
Purchased merchandise on account that costs $25,000. The terms of purchases are
2/11, n/45.
The goods in Event 1 were purchased FOB shipping point with freight cost of
1
$800 cash
Returned $2,000 of damaged merchandise (Event 1) to the supplier
Sold merchandise that costs $12,000 for $21,500 cash. The terms of sale was
2/11, n/45.
Delivered merchandise to customers in Event 4 under terms FOB destination with
4
freight costs amounting to $500 cash
Paid the amount due on its account payable (Event 1) within the discount period.
The customer paid the amount due on (Event 4) during the discount period
Required:
a. Prepare journal entries to record the events
Chapter 6 Solutions
Principles of Accounting Volume 1
Ch. 6 - Which of the following is an example of a contra...Ch. 6 - What accounts are used to recognize a retailers...Ch. 6 - Which of the following numbers represents the...Ch. 6 - If a customer purchases merchandise on credit and...Ch. 6 - Which of the following is a disadvantage of the...Ch. 6 - Which of the following is an advantage of the...Ch. 6 - Which of the following is not a reason for the...Ch. 6 - Which of the following is not included when...Ch. 6 - Which of the following accounts are used when...Ch. 6 - A retailer pays on credit for $650 worth of...
Ch. 6 - A retailer returns $400 worth of inventory to a...Ch. 6 - A retailer obtains a purchase allowance from the...Ch. 6 - Which of the following accounts are used when...Ch. 6 - A customer pays on credit for $1,250 worth of...Ch. 6 - A customer returns $870 worth of merchandise and...Ch. 6 - A customer obtains a purchase allowance from the...Ch. 6 - Which of the following is not a characteristic of...Ch. 6 - Which two accounts are used to recognize shipping...Ch. 6 - Which of the following is not a characteristic of...Ch. 6 - A multi-step income statement ________. A....Ch. 6 - Which of the following accounts would be reported...Ch. 6 - A simple income statement ________. A. combines...Ch. 6 - Which of the following accounts would not be...Ch. 6 - Which of the following accounts are used when...Ch. 6 - A retailer obtains a purchase allowance from the...Ch. 6 - A customer returns $690 worth of merchandise and...Ch. 6 - A customer obtains an allowance from the retailer...Ch. 6 - What are some benefits to a retailer for offering...Ch. 6 - What do credit terms of 4/10, n/30 mean in regard...Ch. 6 - What is the difference between a sales return and...Ch. 6 - If a retailer made a purchase in the amount of...Ch. 6 - What are two advantages and disadvantages of the...Ch. 6 - What are two advantages and disadvantages of the...Ch. 6 - Sunrise Flowers sells flowers to a customer on...Ch. 6 - Sunrise Flowers sells flowers to a customer on...Ch. 6 - Name two situations where cash would be remitted...Ch. 6 - If a retailer purchased inventory in the amount of...Ch. 6 - A retailer discovers that 50% of the total...Ch. 6 - Name two situations where cash would be remitted...Ch. 6 - If a customer purchased merchandise in the amount...Ch. 6 - A customer discovers 60% of the total merchandise...Ch. 6 - What are the main differences between FOB...Ch. 6 - A buyer purchases $250 worth of goods on credit...Ch. 6 - A seller sells $800 worth of goods on credit to a...Ch. 6 - Which statement and where on the statement is...Ch. 6 - The following is select account information for...Ch. 6 - What is the difference between a multi-step and...Ch. 6 - How can an investor or lender use the Gross Profit...Ch. 6 - The following is select account information for...Ch. 6 - If a retailer purchased inventory in the amount of...Ch. 6 - A customer discovers 50% of the total merchandise...Ch. 6 - What is the difference in reporting requirements...Ch. 6 - On March 1, Bates Board Shop sells 300 surfboards...Ch. 6 - Marx Corp. purchases 135 fax machines on credit...Ch. 6 - Match each of the following terms with the best...Ch. 6 - The following is selected information from Mars...Ch. 6 - On April 5, a customer returns 20 bicycles with a...Ch. 6 - Record journal entries for the following purchase...Ch. 6 - Record journal entries for the following purchase...Ch. 6 - Record the journal entry for each of the following...Ch. 6 - Record journal entries for the following sales...Ch. 6 - Record the journal entries for the following sales...Ch. 6 - Record the journal entry or entries for each of...Ch. 6 - Review the following situations and record any...Ch. 6 - Review the following situations and record any...Ch. 6 - Review the following situations and record any...Ch. 6 - The following select account data is taken from...Ch. 6 - Record journal entries for the following purchase...Ch. 6 - Record journal entries for the following purchase...Ch. 6 - Record the journal entries for the following sales...Ch. 6 - Record the journal entry or entries for each of...Ch. 6 - On June 1, Lupita Candy Supplies sells 1,250 candy...Ch. 6 - Ariel Enterprises purchases 32 cellular telephones...Ch. 6 - For each of the following statements, fill in the...Ch. 6 - The following is selected information from Orange...Ch. 6 - On April 20, Barrio Bikes purchased 30 bicycles at...Ch. 6 - Blue Barns purchased 888 gallons of paint at $19...Ch. 6 - Canary Lawnmowers purchased 300 lawnmower parts at...Ch. 6 - Record journal entries for the following purchase...Ch. 6 - Blue Barns sold 136 gallons of paint at $31 per...Ch. 6 - Canary Lawnmowers sold 70 lawnmower parts at $5.00...Ch. 6 - Record journal entries for the following sales...Ch. 6 - Review the following situations and record any...Ch. 6 - Review the following situations and record any...Ch. 6 - Review the following situations and record any...Ch. 6 - The following select account data is taken from...Ch. 6 - Canary Lawnmowers purchased 300 lawnmower parts at...Ch. 6 - Record journal entries for the following purchase...Ch. 6 - Canary Lawnmowers sold 75 lawnmower parts at $5.00...Ch. 6 - Record journal entries for the following sales...Ch. 6 - Record journal entries for the following...Ch. 6 - Record journal entries for the following...Ch. 6 - Costume Warehouse sells costumes and accessories....Ch. 6 - Pharmaceutical Supplies sells medical supplies to...Ch. 6 - Review the following transactions for Birdy...Ch. 6 - Review the following transactions for Dish Mart...Ch. 6 - Review the following sales transactions for Birdy...Ch. 6 - Review the following sales transactions for Dish...Ch. 6 - Record the following purchase transactions of...Ch. 6 - The following is the adjusted trial balance data...Ch. 6 - The following is the adjusted trial balance data...Ch. 6 - Review the following transactions for Birdy...Ch. 6 - Review the following sales transactions for Dish...Ch. 6 - Record journal entries for the following...Ch. 6 - Record journal entries for the following...Ch. 6 - Costume Warehouse sells costumes and accessories...Ch. 6 - Pharmaceutical Supplies sells medical supplies and...Ch. 6 - Review the following transactions for April...Ch. 6 - Review the following transactions for Dish Mart...Ch. 6 - Review the following sales transactions for April...Ch. 6 - Review the following sales transactions for Dish...Ch. 6 - Record the following purchase transactions of...Ch. 6 - Record the following sales transactions of Money...Ch. 6 - Record the following sales transactions of Custom...Ch. 6 - The following is the adjusted trial balance data...Ch. 6 - Following is the adjusted trial balance data for...Ch. 6 - Review the following transactions for April...Ch. 6 - Review the following sales transactions for Dish...Ch. 6 - Conduct research on a real-world retailers trade...Ch. 6 - You have decided to open up a small convenience...Ch. 6 - You own your own outdoor recreation supply store....Ch. 6 - You own a clothing store and use a periodic...
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