Winters Hardware Store completed the following merchandising transactions in the

Question

Winters Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, Winters' ledger showed Cash of $9,600 and Common Stock of $ 9,600. May Purchased merchandise on account from Black Wholesale Supply for $8,100, terms 1/10, n/30. 2 5 9 10 11 12 15 17 19 24 25 Sold merchandise on account for $4,900, terms 2/10, n/30. The cost of the merchandise sold was $ 3,675. Received credit from Black Wholesale Supply for merchandise returned $ 400. Received collections in full, less discounts, from customers billed on May 2. Paid Black Wholesale Supply in full, less discount. Purchased supplies for cash $ 1,080. Purchased merchandise for cash $ 3,720. Received $ 276 refund for return of poor-quality merchandise from supplier on cash purchase. Purchased merchandise from Wilhelm Distributors for $ 2,850, terms 2/10, n/30. Paid freight on May 17 purchase $ 300. Sold merchandise for cash $ 6,600. The cost of the merchandise sold was $4,920. Purchased merchandise from Clasps Inc. for $960, terms 3/10, n/30

Explanation / Answer

to record the cash paid for merchnadise inventory

General Journal Date Account Title Dr Amount Cr Amount 1-May Merchandise Inventory $8,100 To Accounts Payable Black wholesale Supply $8,100 To Record the purcahse of merchandise on account 2-May Accounts Receivable $4,900 To Sales revenue $4,900 to record the sale of merchandise on account 2-May Cost of Goods Sold $3,675 To Merchandise Inventory $3,675 to record the sale of merchandise sold 5-May Accounts Payable B W Supply $400 To Merchandise Inventory $400 to record the return of merchandise inventory 9-May Cash -(4900-98) $4,802 Sales discount and allowance-4900*2% $98 To Accounts Receivable $4,900 to record the receipt of cash from an account 10-May Accounts Payable-B W Supply ($8100-$400) $7,700 To Cash-$7700-$77 $7,623 To Merchandise Inventory-$7700*1% $77 to record the payment to an accounts payable 11-May Supplies $1,080 To cash $1,080 to record the cash paid for supplies 12-May Merchandise Inventory $3,720 To cash $3,720

to record the cash paid for merchnadise inventory

15-May Cash $276 To Merchandise Inventory $276 to record the refund of cash paid for merchandise 17-May Mercahndise Inventory $2,850 To Accounts Payable-W Distributors $2,850 To record the purcahse of inventory on account 19-May Merchandise Inventiry $300 To Cash $300 to record the cash paid for freight 24-May Cash $6,600 To revenue $6,600 to record the sale of merchandise 24-May cost of good sold $4,920 To Merchandise Inventory $4,920 to record the cost of merchandise inventory 25-May Merchandise Inventiry $960 To Accounts Payable -C Inc $960 to record the purcahse of merchandis on account 27-May Accounts Payable-W Dist $2,850 To cash $2,793 To Merchandise Inventory $57 to record the payment on account 29-May Sales Return $135 To Cash $135 To Record the cash paid for sales return 29-May Merchandise Inventiry $99 To Cost of Goods Sold $99 to record the cost of retruned merchandise 31-May Acounts Receivable $1,536 To Sales Revenue $1,536 to record the sale of merchandise 31-May Cost of Goods Sold $996 To Merchandise Inventory $996 To record the cost of mercahdise inventiry

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.