Answer:
Question: From the details given, make all the journal entries necessary to record the transactions above using appropriate dates.
                                   Pina Corporation
                                    Journal Entries
Date                          Details                                    Debit               Credit
                                                                                     $                       $
February 2              Purchases                               62,034
                                Accounts Payable                                            62,034
Being credit purchase of goods at discount of 2%
February 26           Accounts Payable                   62,034
                                Purchase - Discount                  1,266
                                Cash                                                                 63,300  
Being payment made for goods purchased
April 1                      Vehicle                                      52,000
                                 Cash                                                                   3,000
                                 10% 1-year Note payable                                49,000
Being purchase of vehicle by part cash, part note-payable
May 1                       Cash                                            82,900
                                 Note Payable - Discount             9,600
                                 1-year Note payable                                         92,500
Being borrowing from bank
August 1                   Dividend                                     280,000
                                  Dividend Payable                                            280,000
Being dividend declared, not yet paid
September 10           Dividend Payable                      280,000
                                   Cash                                                                280,000
Being cash payment of dividend
Explanation:
a) 2/10, n/30 means that the buyer is to pay within 30 days but is entitled to 2% discount if the purchase is paid for in 10 days. Since Pina records at net amounts after cash discount
To record this purchase = 63,300 * 0.02 = 1,266
                                         = 63,300 - 1266 = $62,034
b) Since payment was made on 26th, it means the 10 day discount was not utilized hence Pina pays full price for the goods