On May 3, 20x3, Peter Piper's Peppers, Inc. sold a peck of peppers to Verm's Veggies for $2.600 Peter offers Vem credit terms of 2/10, n/30 Peter's cost of the peck of peppers was $1,800 Presuming that Peter Piper uses the perpetual inventory system and the gross method, what would Peter Piper's journal entry be when Verns pays the invoice on May 8, and takes the appropriate discount? Multiple Choice Cash Accounts receivable Cash Sales discounts Accounts receivable Cash Accounts receivable Cash Accounts receivable 2,600 2,548 52 1.720 1,800 2,600 2,600 1,720 1,800

On May 3, 20x3, Peter Piper's Peppers, Inc. sold a peck of peppers to Verm's Veggies for $2.600 Peter offers Vem credit terms of 2/10, n/30 Peter's cost of the peck of peppers was $1,800 Presuming that Peter Piper uses the perpetual inventory system and the gross method, what would Peter Piper's journal entry be when Verns pays the invoice on May 8, and takes the appropriate discount? Multiple Choice Cash Accounts receivable Cash Sales discounts Accounts receivable Cash Accounts receivable Cash Accounts receivable 2,600 2,548 52 1.720 1,800 2,600 2,600 1,720 1,800

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 5EA: On April 5, a customer returns 20 bicycles with a sales price of $250 per bike to Barrio Bikes. Each...

See similar textbooks

Similar questions

On April 5, a customer returns 20 bicycles with a sales price of $250 per bike to Barrio Bikes. Each bike cost Barrio Bikes $100. The customer had yet to pay on their account. The bikes are in sellable condition. Prepare the journal entry or entries to recognize this return if the company uses A. the perpetual inventory system B. the periodic inventory system
On March 1, Crunk Company sold merchandise in the amount of $5.800 to Wells Company, with credit terms of 2/10, n/30. The cost of the items sold is $4,000. Crunk uses the perpetual inventory system and the gross method. On July 5, Wells returns some of the merchandise. The selling price of the merchandise is $500 and the cost of the merchandise returned is $350. The entry or entries that Crunk must make on July 5 is: 500 Accounts receivable Sales returns and allowances Sales returns and allowances Accounts receivable Accounts receivable Sales returns and allowances: Cost of goods sold Merchandise inventory Sales returns and allowances Accounts receivable Sales returns and allowances Accounts receivable Merchandise inventory Cost of goods sold 350 & B see 350 500 500 350 500 350 500 350 See 500 350
On June 1, Able Company sold merchandise in the amount of $6,000 to Maya's, with credit terms of 2/10, n/30. The cost of the items sold is $5,000. Able uses the perpetual inventory system. The journal entry or entries that Able will make on June 1 is: June 9th entry when Maya pays for her merchandise If June 9th never happened, and Maya paid on June 20th, What is the journal entry? Fido Company had sales of $200,000, sales discounts of $5,000, and sales returns of $4,800. Fido Company's net sales equals
a. Sampson Co. sold merchandise to Batson Co. on account, $22,200, terms 2/15, net 45. b. The cost of the goods sold is $16,650. c. The Batson Co. paid the invoice within the discount period. Assume both Sampson and Batson use a perpetual inventory system. If no entry is required, select "No entry required" and leave the amount boxes blank. Prepare the entries that Sampson Company would record for the information above. If an amount box does not require an entry, leave it blank. a. b. Prepare the entries that Batson Company would record for the information above. If an amount box does not require an entry, leave it blank. a. b. C.
a. Sampson Co. sold merchandise to Batson Co. on account, $36,000, terms 2/15, net 45. b. The cost of the goods sold is $27,000. c. The Batson Co. paid the invoice within the discount period. Assume both Sampson and Batson use a perpetual inventory system. If no entry is required, select "No entry required" and leave the amount boxes blank. Prepare the entries that Sampson Company would record for the information above. If an amount box does not require an entry, leave it blank. a. b. С. Accounting numeric field Prepare the entries that Batson Company would record for the information above. If an amount box does not require an entry, leave it blank. а. b. a.
Sampson Co. sold merchandise to Batson Co. on account, $38,400, terms 2/15, net 45. The cost of the merchandise sold is $28,800. Batson Co. paid the invoice within the discount period. Assume both Sampson and Batson use a perpetual inventory system. Journalize these transactions for Sampson Co. If an amount box does not require an entry, leave it blank. a. fill in the blank 15841b07707b001_2 fill in the blank 15841b07707b001_3 fill in the blank 15841b07707b001_5 fill in the blank 15841b07707b001_6 b. fill in the blank 15841b07707b001_8 fill in the blank 15841b07707b001_9 fill in the blank 15841b07707b001_11 fill in the blank 15841b07707b001_12 c. fill in the blank 15841b07707b001_14 fill in the blank 15841b07707b001_15 fill in the blank 15841b07707b001_17 fill in the blank 15841b07707b001_18 Journalize these transactions for Batson Co. If an amount box does not require an entry, leave it blank. a. and b. fill in the blank…
On September 12, Fang Company sold merchandise of $5,800 to Brown Company, with credit terms of 2/10, n/30. The cost of the items sold is $4,000. Fang uses the perpetual inventory system and the net method of accounting for sales. On September 14, Brown returns some of the merchandise. The selling price of the merchandise is $500 and the cost of the merchandise returned is $350. Brown pays the invoice on September 18 and takes the appropriate discount. The journal entry that Fang makes on September 18 is: Multiple Choice Account Title Debit Credit Cash 5,800 Accounts Receivable 5,800 Account Title Debit Credit Cash 5,194 Accounts Receivable 5,194 Account Title Debit Credit Cash 5,194 Sales Discounts 106 Accounts Receivable 5,300 Account Title Debit Credit Cash 5,684 Accounts Receivable 5,684 Account Title Debit Credit Cash 5,684 Sales Discounts 116 Accounts Receivable…
On February 3, Smart Company sold merchandise in the amount of $4,800 to Truman Company, with credit terms of 1/10, n/30. The cost of the Items sold is $3,310. Smart uses the perpetual inventory system and the gross method. Truman pays the involce on February 8, and takes the appropriate discount. The journal entry that Smart makes on February 8 is: Multiple Choice Cash 3,310 Accounts receivable 3,310 Cash 4,800 Accounts receivable 4,800 Cash 4,720 Sales discounts 33 Accounts receivable 4,753 3,230 Cash 3,230 Accounts receivable MacBookA
Travis Company purchased merchandise on account from a supplier for $12,000, terms 2/10, net 30. Travis Company paid for the merchandise within the discount period. Under a perpetual inventory system, record the journal entries required for the above transactions. If an amount box does not require an entry, leave it blank.
On March 12, Klein Company sold merchandise in the amount of $7,800 to Babson Company, with credit terms 2/10, n30. The cost of the items sold is $4,500. Klein uses PERPETUAL inventory system and the GROSS METHOD of accounting for sales. Babson pays the invoice on March 17th and takes the appropriate discount. What is the journal entry Klein makes on March 17th?
On April 1, Moloney Meat Distributors sold merchandise on account to Fronke’s Franks for $3,700 on Invoice 1001, terms 2/10, n/30. The cost of merchandise sold was $2,400. Payment was received in full from Fronke’s Franks, less discount, on April 10. Required: Record the transactions for Moloney Meat Distributors on April 1 and April 10. The company uses the perpetual inventory system. (Round final answers to the nearest whole dollar value.)
On May 1, Shilling Company sold merchandise in the amount of $5,800 to Anderson, with credit terms of 2/10, n/30. The cost of the items sold is $4,000. Shilling uses the perpetual inventory system and the gross method. The journal entry or entries that Shilling will make on May 1 is (are):