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Liula [17]
3 years ago
5

Nov. 5 Purchased 850 units of product at a cost of $10 per unit. Terms of the sale are 3/10, n/60; the invoice is dated November

5.
Nov. 7 Returned 30 defective units from the November 5 purchase and received full credit.
Nov. 15 Paid the amount due from the November 5 purchase, minus the return on November 7.

Required:
Prepare the journal entries to record each of the above purchases transactions of a merchandising company. Assume a perpetual inventory system.
Business
1 answer:
pickupchik [31]3 years ago
4 0

Answer: Please see explanation column for answer

Explanation: A perpetual inventory system maintains inventory balances ensuring that records are continually made immediately when purchases or sale are made together with any returns which are recorded in inventory accounts.

To record purchase of merchandise

Date         Account                                    Debit       Credit

Nov 5    Merchandise Inventory         $8500

         Accounts payable                                               $8,500

To record return of merchandise purchased

Nov 7      Accounts payable                  $300

       Merchandise Inventory                                          $300

To record payment of inventory

Nov 15    Accounts payable                $8,200                      

              Cash                                                                  $7,954

          Merchandise Inventory                                         $246

Calculation =

Nov 5 - Cost of merchandise purchased =  No of units x unit price = 850 x 10 =$8500

Nov 7 - Cost of merchandise returned =  No of units returned x unt price = 30 x 10 = $300

discount received = Balance from accounts payable  x discount rate = (8,500- 300) x 3%= 8200 x 0.03=  $246

   Cash  =    Accounts payable    - Merchandise Inventory = $8200 - 246 =$7984.

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The month of April

Explanation:

Susan Zupan, a lawyer, accepts a legal engagement in March, performs the work in April, and is paid in May. If Zupan's law firm prepares monthly financial statements, the law firm should recognize the revenue in April because according to revenue recognition principle, revenue should be recognized in the accounting period in which services are performed, and Susan zupan performed the work in April so therefore the firm should recognize the revenue in April.

4 0
3 years ago
As the CEO of a conglomerate, Eva Morris exhibited her strong commitment toward the company's core value that customers' well-be
jenyasd209 [6]

Answer: social responsibility of business to customers

Explanation:

social responsibility of business is the voluntary roles which business play in the society

It is the moral obligation that business owes the society, in other words, it refers to the ways in which business enterprises could assist to develop the local communities in which they operate.The business can have responsibilities towards the following

Owners : The business has it as a responsibility to protect the investment of its owners. It has to ensure that a reasonable return is earned on such investment, in addition, efforts must also be geared toward ensuring the growth of the business.

Customers : The business responsibility to their customers include the production and distribution of high quality goods and services advertising correct and not defective goods and services, labelling goods clearly and correctly, offering and explaining credit facilities and adopting after sales services. The business must recognize that the ultimate success or failure of the business rest to a large extent with the customers, The business must ensure that they do not sell to their customers fake product or produce products which may be injurious to the health of their customers.

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8 0
3 years ago
Suppose the data have a bell-shaped distribution with a mean of 25 and a standard deviation of 5. Use the empirical rule to dete
Zielflug [23.3K]

Answer:

a) 15 to 35 approximately 95%

(b) 10 to 40 approximately almost all

(c) 20 to 30 approximately 68%

Explanation:

The data have a bell-shaped distribution which means the data is equally distributed on both sides of the mean.

We have the mean at 25 and a standard deviation of 5 which means that the interval is for each of the values of 5 .

The mean would be u and

The first value would be u ±σ = 25 ± 5= 20 and 30 (68 % )

The second value will be u ± 2σ= 25± 10 = 15 and 35 (95%)

The third value will be u ± 3σ= 25 ± 15 = 10 and 40 (99.7 % almost all)

In the figure below the light blue region gives u ±σ on both sides of the mean

, dark blue gives u ± 2σ values on both sides of the mean and grey gives

u ± 3 σ values on both sides of the mean.

It is obvious that 68 % of the data is contained in the u ±σ light blue region, 95 % of the data in the  u ± 2σ dark blue including light blue and 99.7 % in the u ± 3σ all colored regions.

3 0
3 years ago
According to the market theory of wage determination, under what circumstances will wages for a paticular group be highest?
eduard
The answer to that would be D
3 0
3 years ago
Consider the following work breakdown structure:What is the probability that this project will be completed within 210 days AND
ella [17]

Answer: 0.8186  

Explanation:

Given that;

activity To    Tm Tp     Te (V)^0.5            v

A         38    50 62    50 4                   16

B         90    99 108    99 3                    9

C         70    80 90    80 3.333333    11.11111

D         19    25 31    25 2                    4

E         91    100 115    101 4                   16

F         62    65 68    65 1                    1

Expected duration Te = (4 × Tm + To + Tp ) / 6

Variance = ( Tp-To/6]²

variance of the critical path = 9+16 =25

SD of the critical path = ( var)^0.5 = 5

probability that the project will be completed within  210 days is given by

z = (210-200) / 5 = 2

which gives probability of 0.97725

Probability that the project will be completed within 195 days

z = (195-200) / 5 = -1

which corresponds to probability of 0.1586

Now required probability that project completes within 210 but before 195 days is given by

0.97725 - 0.1586 = 0.8186  

4 0
3 years ago
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