In: Accounting
Sales-Related Transactions Using Perpetual Inventory System
The following selected transactions were completed by Green Lawn Supplies Co., which sells irrigation supplies primarily to wholesalers and occasionally to retail customers:
July 1. | Sold merchandise on account to Landscapes Co., $15,200, terms FOB shipping point, n/eom. The cost of merchandise sold was $9,100. |
2. | Sold merchandise for $21,700 plus 6% sales tax to retail cash customers. The cost of merchandise sold was $14,100. |
5. | Sold merchandise on account to Peacock Company, $37,700, terms FOB destination, 1/10, n/30. The cost of merchandise sold was $24,500. |
8. | Sold merchandise for $8,000 plus 5% sales tax to retail customers who used VISA cards. The cost of merchandise sold was $4,800. |
13. | Sold merchandise to customers who used MasterCard cards, $6,000. The cost of merchandise sold was $3,800. |
14. | Sold merchandise on account to Loeb Co., $11,300, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was $6,700. |
15. | Received check for amount due from Peacock Company for sale on July 5. |
16. | Issued credit memo for $1,700 to Loeb Co. for merchandise returned from sale on July 14. The cost of the merchandise returned was $1,000. |
18. | Sold merchandise on account to Jennings Company, $5,800, terms FOB shipping point, 2/10, n/30. Paid $260 for freight and added it to the invoice. The cost of merchandise sold was $3,500. |
24. | Received check for amount due from Loeb Co. for sale on July 14 less credit memo of July 16. |
28. | Received check for amount due from Jennings Company for sale of July 18. |
31. | Paid Black Lab Delivery Service $1,600 for merchandise delivered during July to customers under shipping terms of FOB destination. |
31. | Received check for amount due from Landscapes Co. for sale of July 1. |
Aug. 3. | Paid Hays Federal Bank $1,070 for service fees for handling MasterCard and VISA sales during July |
10. | Paid $1,960 to state sales tax division for taxes owed on sales. |
Required:
Journalize the entries to record the transactions of Green Lawn Supplies Co. For a compound transaction, if no entry is required, leave the entry box blank.
I have in here combined entries of sales and inventory adjustment, you can segregate them also if you want. Please give a like for the efforts put in for the answer. Thanks
Date | Account Titles | Debit | Credit |
July | |||
1 | Accounts Receivable - Landscape | $15,200.00 | |
Sales | $15,200.00 | ||
1 | Cost of Merchandise Sold | $9,100.00 | |
Merchandise Inventory | $9,100.00 | ||
2 | Cash | $23,002.00 | |
Sales | $21,700.00 | ||
Sales Tax Payable | $1,302.00 | ||
Cost of Merchandise Sold | $14,100.00 | ||
Merchandise Inventory | $14,100.00 | ||
5 | Accounts Receivable - Jones Company | $37,700.00 | |
Sales | $37,700.00 | ||
Cost of Merchandise Sold | $24,500.00 | ||
Merchandise Inventory | $24,500.00 | ||
8 | Cash | $8,400.00 | |
Sales | $8,000.00 | ||
Sales Tax Payable | $400.00 | ||
Cost of Merchandise Sold | $4,800.00 | ||
Merchandise Inventory | $4,800.00 | ||
13 | Cash | $6,000.00 | |
Sales | $6,000.00 | ||
Cost of Merchandise Sold | $3,800.00 | ||
Merchandise Inventory | $3,800.00 | ||
14 | Accounts Receivable - Loeb Co | $11,300.00 | |
Sales | $11,300.00 | ||
Cost of Merchandise Sold | $6,700.00 | ||
Merchandise Inventory | $6,700.00 | ||
15 | Cash | $37,323.00 | |
Sales Discount | $377.00 | ||
Accounts Receivable - Peacock Company | $37,700.00 | ||
16 | Sales Returns | $1,700.00 | |
Accounts Receivable - Loeb Co. | $1,700.00 | ||
Merchandise Inventory | $1,000.00 | ||
Cost of Merchandise Sold | $1,000.00 | ||
18 | Accounts Receivable - Jennings | $6,060.00 | |
Sales | $5,800.00 | ||
Cash | $260.00 | ||
Cost of Merchandise Sold | $3,500.00 | ||
Merchandise Inventory | $3,500.00 | ||
24 | Cash | $9,504.00 | |
Sales Discount | $96.00 | ||
Accounts Receivable - Loabes Co | $9,600.00 | ||
28 | Cash | $5,999.40 | |
Sales Discount | $61.00 | ||
Accounts Receivable - Jennings | $6,060.00 | ||
31 | Freight out | $1,600.00 | |
Cash | $1,600.00 | ||
31 | Cash | $15,200.00 | |
Accounts Receivable - Landscape | $15,200.00 | ||
Aug-03 | Credit Card Expense | $1,070.00 | |
Cash | $1,070.00 | ||
Aug-10 | Sales Tax Payable | $1,960.00 | |
Cash | $1,960.00 |