Novelty Furnishings Company’s perpetual inventory records indicate that $677,500 of merchandise should be on hand on November 30, 20Y1. The physical inventory indicates that $664,400 of merchandise is actually on hand. Journalize the adjusting entry for the inventory shrinkage for Novelty Furnishings Company for the year ended November 30, 20Y1. Assume that the inventory shrinkage is a normal amount. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
Novelty Furnishings Company’s perpetual inventory records indicate that $677,500 of merchandise should be on hand on November 30, 20Y1. The physical inventory indicates that $664,400 of merchandise is actually on hand. Journalize the adjusting entry for the inventory shrinkage for Novelty Furnishings Company for the year ended November 30, 20Y1. Assume that the inventory shrinkage is a normal amount. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter6: Accounting For Merchandising Businesses
Section: Chapter Questions
Problem 9PB: On June 30, 2019, the balances of the accounts appearing in the ledger of Simkins Company are as...
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Novelty Furnishings Company’s perpetual inventory records indicate that $677,500 of merchandise should be on hand on November 30, 20Y1. The physical inventory indicates that $664,400 of merchandise is actually on hand.
Journalize the adjusting entry for the inventory shrinkage for Novelty Furnishings Company for the year ended November 30, 20Y1. Assume that the inventory shrinkage is a normal amount. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
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