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3 years ago

Company sell goods to customer who will pay full amount in 30 days; how to record the sale

Business

1 answer:

sp2606 [1]3 years ago

6 0

Answer:

<h2>How to record a credit sale:</h2>

The General Journal or Sales Journal (a subsidiary journal) if the volume of credit sales is on the high side can be used.

i) Using the General Journal:

Date Description Debit Credit

xxx Accounts Receivable (Marjorie Customer) $$$

Sales Revenue $$$

To record the sale of goods on credit, terms n/30.

ii) Alternatively, the Sales Journal is used:

Date Description Amount

xxx Marjorie Customer $$$

other customers $$$

Total (Accounts Receivable) $$$

Explanation:

The General Journal is an all-purpose journal, which can be used to initiate the recording of business transactions. It shows the accounts to be debited and the ones to be credited in the General Ledger.

The use of a subsidiary journal, e.g. a Sales Journal, helps to summarize the particular type of transaction for a period before the total is posted to the control account in the general ledger and the individual customer accounts in the Subsidiary Ledger.

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4 years ago

you invest $1300 in an account at interest rate r, compounded continuously. Find the time required for the amount to double and

miskamm [114]

Answer:

1. For the amount to double: 9.37 years

2. For the amount to triple: 14.85 years

Explanation:

The equation for continuosly compounded interest is:

$F=P\times e^{rt}$

Where:

P is the amount that you invest today: $1,300
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r is the annual interest rate: 0.074

1. For the amount to double:

Substitute the values and solve for t:

$2\times \$1,300=\$1,300\times e^{0.074t}\\ \\ 0.074t=\ln 2\\ \\ t=\ln 2/0.074=9.37years$

2. For the amount to triple:

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3 years ago

Read the following except from a warranty. What time period is this warranty for? "This warranty is given by XYZ motors. The Zoo

ArbitrLikvidat [17]

Answer:

The warranty period is for three years.

Explanation:

A warranty is a promise a buyer receives from the seller that the latter will repair or replace the product should it develop defects within a stated period. Warranties are granted with specific conditions. The universal condition is that the defects in the product are a result of the manufacturing process and not the buyers' misuse. The defect must occur within a stated period.

In the case of XYZ, the stated period is three years. However, the seller has introduced another condition of "or 30,000 miles whichever comes first." For business reasons, and from market experience, the seller expects that XYZ will use the vehicle at an average rate of 10,000 miles per year. At this rate, the warranty will last for three years. Should the buyer use the vehicle at a faster rate than this, the 30,000 miles will be exhausted earlier, which will bring the warranty to an end. If XYZ uses the vehicle at a slower or the expected rate, the warranty will last for three years.

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