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2 years ago

Journalizing purchase and sales transactions

Business

1 answer:

Firdavs [7]2 years ago

4 0

Based on the given purchase and sale transactions, the journal entries are:

Date Account Title Debit Credit

Feb 3 Merchandise inventory 3,300

Account payable 3,300

Feb 7 Account payable 900

Merchandise inventory 900

Feb 9 Merchandise inventory 400

Cash 400

Feb 10 Account receivable 4,700

Sales revenue 4,700

Feb 10 Cost of goods 2,350

Freight out 370

Merchandise inventory 2,350

Cash 370

Feb 12 Account payable 2,400

Cash 2,328

Merchandise inventory 72

Feb 28 Cash 4,606

Sales discount 94

Account receivable 4,700

<h3 /><h3>What are the journal entries?</h3>

When goods are purchased, they will be debited to the Merchandise inventory account. If they were paid for with cash, they will be credited to the cash account. On account is credited to Accounts Payable.

When goods are sold, the cost of goods sold will have to be debited to account for the cost of the purchase that is now being sold.

Because the goods were paid for in the discount period, a 3% discount would apply:

= 2,400 x (1 - 3%)
= $2,328

A 2% discount would apply to the Feb 10. sales for the same reason:
= 4,700 x (1 - 2%)

= $4,606

Find out more on discount terms at brainly.com/question/24086159.

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The income received by a country's people from all sources in a given time period

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The correct answer is personal income.

A country’s personal income is the amount of income received by all of the country’s people in a given time period.

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3 years ago

A bank owns a 10-story office building. In the bank's balance sheet, this would be listed as part of?

ziro4ka [17]

A 10-story office building is owned by a bank. This would be an example of a chequable deposit on the bank's balance sheet.

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1 year ago

Daniel Franco, a free-lance gaming consultant and blogger, needed a new gaming system for his business. After some lengthy revie

Law Incorporation [45]

Answer:

Explanation:

Issue: Will the court rule in support of Daniel’s argument that Nintendo breached the warranty based on reasonable expectation on the performance of an expensive system and statements made while selling the gaming system?

Rule: There is a creation of express warranty when a seller makes a description of the statement quality, condition or performance of goods sold. This warranty is created by the statement of facts and if the seller uses words to designate the value of the supposed goods, it will only be considered as an opinion that does not create any express warranty.

The customer’s reasonable expectation of the existence of the gaming system based on the price leads to implied warranty. The goods sold should be logically fit for the general purpose for which it is sold. It should be of proper quality to satisfy the implied warranty of merchantability and the goods should fit the particular purpose for which the buyer will use the goods to satisfy the implied warranty of fitness for a particular purpose.

Analysis: Here, the argument of Daniel that Nintendo’s description of the gaming system as “most reliable”, and “durable” asserted that the quality and performance of the gaming system will not stay because these words create general statements that are made as part of sale or seller’s opinion about the goods. These words would be considered as puffery and do not create any express warranty. The higher price of the gaming system would create an implied warranty about the performance of the system, but the switch failed only after the warranty period. When the seller has expressly stated the warranty period as one year, any defects that occur after the warranty period will not breach the implied warranty.

Moreover, the gaming system was reasonably fit for Daniel’s business purpose and worked well during the warranty period. Hence Daniel’s arguments will not stay in front of the court.

Conclusion: The court will not rule in favor of Daniel and Daniel will not be able to recover against Nintendo because no breach of warranty had occurred.

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3 years ago

Harriet Marcus is concerned about the financing of a home. She saw a small cottage that sells for $39,000. Assuming that she put

Leokris [45]

Incomplete question. Here's the remaining part that completes question;

(Use the Table 15.1(a) and Table 15.1(b)). (Round intermediate calculations and your final answers to the nearest cent.)

Monthly payment

a. 25 Years, 10.5%

b. 25 Years, 11.5%

c. 25 Years, 12.5%

d. 25 Years, 14.0%

Answer:

Monthly payment is $104 for each assumption

Total interest cost

a. $3,276

b. $3,588

c. $3,900

d. $4,368

Explanation:

Total balance left = $39,000-$7800 (20% of Cost of cottage)=$31,200

a) For monthly payment

$31,200/300 months (equivalent For 25 years) = $104

Total cost of Interest= monthly Interest% x monthly payment x 300 months= 10.5% x $104 x 300 months = $3,276.

b) For monthly payment

$31,200/300 months (equivalent For 25 years) = $104

Total cost of Interest= monthly Interest% x monthly payment x 300 months= 11.5% x $104 x 300 months = $3,588.

c) For monthly payment

$31,200/300 months (equivalent For 25 years) = $104

Total cost of Interest= monthly Interest% x monthly payment x 300 months= 12.5% x $104 x 300 months = $3,900.

d) For monthly payment

$31,200/300 months (equivalent For 25 years) = $104

Total cost of Interest= monthly Interest% x monthly payment x 300 months= 14% x $104 x 300 months = $4,368.

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3 years ago

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Hence, she cannot be able to use it as a form of justification for enrolling in a Part D plan now.

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2 years ago