Question

In: Accounting

The following selected transactions were completed by AmsterdamSupply Co., which sells office supplies primarily to...

The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Also note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. 

Record on page 10 of the journal 

Mar. 2 Sold merchandise on account to Equinox Co., $19,300, terms FOB destination, 1/10, n/30. The cost of the merchandise sold was $14,120. 

3 Sold merchandise for $12,200 plus 6% sales tax to retail cash customers. The cost of merchandise sold was $6,930. 

4 Sold merchandise on account to Empire Co., $58,930, terms FOB shipping point, n/eom. The cost of merchandise sold was $32,340. 

5 Sold merchandise for $30,400 plus 6% sales tax to retail customers who used MasterCard. The cost of merchandise sold was $20,610. 

12 Received check for amount due from Equinox Co. for sale on March 2. 

14 Sold merchandise to customers who used American Express cards, $15,040. The cost of merchandise sold was $7,570. 

16 Sold merchandise on account to Targhee Co., $29,900, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was $17,360. 

18 Issued credit memo for $4,900 to Targhee Co. for merchandise returned from sale on March 16. The cost of the merchandise returned was $2,670. Record on page 11 of the journal 

19 Sold merchandise on account to Vista Co., $8,150, terms FOB shipping point, 2/10, n/30. Added $65 to the invoice for prepaid freight. The cost of merchandise sold was $4,850. 

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 $5,470 for delivery of merchandise in March to customers under shipping terms of FOB destination. 

Apr. 3 Paid City Bank $830 for service fees for handling MasterCard and American Express sales during March. 

15 Paid $6,048 to state sales tax division for taxes owed on sales. 

Required: 

Journalize the entries to record the transactions of Amsterdam Supply Co. Refer to the Chart of Accounts for exact wording of account titles.

Solutions

Expert Solution

Answer :-

Date Particulars Debit Credit Assets Liabilities Equity
1. March - 02 Accounts Receivable-Equinox Co. $19,300 $19,300
2. sales $19,300 $19,300
3. Cost of Goods Sold $14,120 -$14,120
4. Inventory $14,120 - $14,120
5. March - 03 Cash

= $12,200 + [ $12,200 * 6% ]

= $12,932

$12,932
6. Sales $12,200 $12,200
7. Sales Tax Payable 732 732
8. Cost of Goods Sold $6,930 -  $6,930
9. Inventory $6,930 - $6,930
10 . March - 04 Accounts Receivable-Empire Co. $58,930 $58,930
11. Sales $58,930 $58,930
12. Cost of Goods Sold $32,340 - $32,340

Related Solutions

The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Also note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30. The cost of the goods sold was $13,300. 3 Sold merchandise...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Amsterdam Supply uses the net method under a perpetual inventory system. Also note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $20,800, terms FOB destination, 1/10, n/30....
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Amsterdam Supply uses the net method under a perpetual inventory system. Also note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $19,100, terms FOB destination, 1/10, n/30....
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30. The cost of the merchandise sold was $13,300. 3 Sold merchandise for...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers: Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $19,200, terms FOB destination, 1/10, n/30. The cost of the merchandise sold was $14,260. 3 Sold merchandise for $11,450 plus 6% sales tax to retail cash customers. The cost of merchandise sold was $6,930. 4 Sold merchandise on account to Empire Co.,...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers: page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $19,200, terms FOB destination, 1/10, n/30. The cost of the merchandise sold was $14,260. 3 Sold merchandise for $11,450 plus 6% sales tax to retail cash customers. The cost of merchandise sold was $6,930. 4 Sold merchandise on account to Empire Co., $52,890, terms...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers: Mar. 2. Sold merchandise on account to Equinox Co., $18,600, terms FOB destination, 1/10, n/30. The cost of the goods sold was $13,030. 3. Sold merchandise for $11,050 plus 6% sales tax to retail cash customers. The cost of the goods sold was $7,420. 4. Sold merchandise on account to Empire Co., $56,940, terms FOB shipping point, n/eom....
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30. The cost of the merchandise sold was $13,300. 3 Sold merchandise for...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Also note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30. The cost of the goods sold was $13,300. 3 Sold merchandise...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to...
The following selected transactions were completed by Amsterdam Supply Co., which sells office supplies primarily to wholesalers and occasionally to retail customers. Also note that the company uses a clearing house to take care of all bank as well as non-bank credit cards used by its customers. Record on page 10 of the journal Mar. 2 Sold merchandise on account to Equinox Co., $18,900, terms FOB destination, 1/10, n/30. The cost of the goods sold was $13,300. 3 Sold merchandise...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT