In: Accounting
The following information is available for the Johnson
Corporation for 2018:
Beginning inventory | $ | 32,000 | |
Merchandise purchases (on account) | 162,000 | ||
Freight charges on purchases (paid in cash) | 17,000 | ||
Merchandise returned to supplier (for credit) | 19,000 | ||
Ending inventory | 37,000 | ||
Sales (on account) | 257,000 | ||
Cost of merchandise sold | 155,000 | ||
Required:
Applying both a perpetual and a periodic inventory system, prepare
the journal entries that summarize the transactions that created
these balances. Include all end-of-period adjusting entries
indicated.