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ID: 2413587 • Letter: C

Question

counting ?M Your question was answe × Chegg Study | Guided Sc X × ' ce.com/#/books/9781 3375 1 407 1 /cfi/36M/4/4@0.00:56.3 point, 1/10, n/30. The cost of merchandise sold was $16,000. 18. Issued credit memo for $4,800 to Targhee Co. for merchandise returned from sale on March 16. The cost of the merchandise returned was $2,900. 19. Sold merchandise on account to Vista Co., $8,250, terms FOB shipping point, 2/10, n/30. Added $75 to the invoice for prepaid freight. The cost of merchan- dise sold was $5,000. 26. Received check for amount due from Targhee Co. for sale on March 16 less credit memo of March 18. 28. Received check for amount due from Vista Co. for sale of March 19. 31. Received check for amount due from Empire Co. for sale of March 4 31. Paid Fleetwood Delivery Service $5,600 for delivery of merchandise in March to customers under shipping terms of FOB destination. Apr. 3. Paid City Bank $940 for service fees for handling MasterCard and American Express sales during March. 15. Paid $6,544 to state sales tax division for taxes owed on sales. Instructions Journalize the entries to record the transactions of Amsterdam Supply Co. WCN0aaesse2 yright 2018 Cengsge Leaming an ?1ghts Reserved. May not b* 0opled, scanned, or duplicated, in whole or in part.

Explanation / Answer

Journal Entry Date Particulars Dr. Amt. Cr. Amt. 2-Mar Accounts Receivable - Equinox Co    18,900.00     Sales    18,900.00 (To record the sales) Cost of Goods Sold    13,300.00    Merchandise Inventory    13,300.00 (To record the cost of goods sold) 3-Mar Cash    12,031.00     Sales    11,350.00     Sales Tax Payable ($11,350 X 6%)          681.00 (To record the sales) Cost of Goods Sold      7,000.00    Merchandise Inventory      7,000.00 (To record the cost of goods sold) 4-Mar Accounts Receivable - Empire Co    55,400.00     Sales    55,400.00 (To record the sales) Cost of Goods Sold    33,200.00    Merchandise Inventory    33,200.00 (To record the cost of goods sold) 5-Mar Cash    31,800.00     Sales    30,000.00     Sales Tax Payable ($30,000 X 6%)      1,800.00 (To record the sales) Cost of Goods Sold    19,400.00    Merchandise Inventory    19,400.00 (To record the cost of goods sold) 12-Mar Cash ($18,900 X 99%)    18,711.00 Sales Discount ($18,900 X 1%)          189.00     Accounts Receivable - Equinox Co    18,900.00 (to record the cash received) 14-Mar Cash    13,700.00     Sales    13,700.00 (To record the sales) Cost of Goods Sold      8,350.00    Merchandise Inventory      8,350.00 (To record the cost of goods sold) 16-Mar Accounts Receivable - Targhee Co    27,500.00     Sales    27,500.00 (To record the sales) Cost of Goods Sold    16,000.00    Merchandise Inventory    16,000.00 (To record the cost of goods sold) 18-Mar Sales Return & Allowances      4,800.00    Accounts Receivable - Targhee Co      4,800.00 (To record the sales return) Merchandise Inventory      2,900.00    Cost of Goods Sold      2,900.00 (To record the cost of goods returned) 19-Mar Accounts Receivable - Vista Co      8,325.00     Sales      8,250.00     Delivery Expenses            75.00 (To record the sales) Cost of Goods Sold      5,000.00    Merchandise Inventory      5,000.00 (To record the cost of goods sold) 26-Mar Cash    22,473.00 Sales Discount ($22,700 X 1%)          227.00     Accounts Receivable - Targhee Co    22,700.00 (to record the cash received) 28-Mar Cash      8,160.00 Sales Discount ($8,250 X 2%)          165.00     Accounts Receivable - Vista      8,325.00 (to record the cash received) 31-Mar Cash    55,400.00     Accounts Receivable - Empire Co.    55,400.00 (to record the cash received) 31-Mar Delivery Expenses      5,600.00    Cash      5,600.00 (To record the delivery expenses paid) 3-Apr Credit Card Expenses          940.00    Cash          940.00 (To record the credit card expenses paid) 15-Apr Sales Tax Payable      6,544.00    Cash      6,544.00 (To record the sales tax paid)