1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
blondinia [14]
3 years ago
14

On October 1, Robertson Company sold inventory in the amount of $5,800 to Alberta, Inc. with credit terms of 2/10, n/30. The cos

t of the items sold is $4,000. Robertson uses a periodic inventory system. The journal entry (or entries) prepared by Robertson on October 1 is(are)_______________.a. Debit Sales Revenue and credit Accounts Receivable for $5,800.b. Debit Sales Revenue and credit Accounts Receivable for $5,800; debit Cost of Goods Sold and credit Inventory for $4,000.c. Debit Accounts Receivable and credit Sales Revenue for $5,800.d. Debit Accounts Receivable and credit Sales Revenue for $5,800; Debit Cost of Goods Sold and credit Inventory for $4,000
Business
1 answer:
NeTakaya3 years ago
4 0

Answer:

Option (d) is correct.

Explanation:

Given that,

Inventory sold to Alberta, Inc. on account = $5,800

Cost of goods sold = $4,000

The journal entries are as follows:

(i) On October 1,

Accounts receivable A/c Dr. $5,800

           To sales A/c                             $5,800

(To record the credit sale of inventory)

(ii) On October 1,

Cost of goods sold A/c Dr. $4,000

         To Merchandise inventory A/c     $4,000

(To record the cost of goods sold)

You might be interested in
What can you suggest to warner Edwards in terms of marketing strategy
inessss [21]

Answer:

Warner Bros focuses a lot on the people as an organization whether it’s the employees or the customers. The key people involved are Kevin Tsujihara (Chairman and CEO), Edward A. Romano (Vice Chairman), Toby Emmerich (President and Chief Content Officer). Its parent company TIME Warner has over 31000 employees. The Warner Bros company and its people focus on diversity that helps in multicultural expansion, workforce development and inclusive growth. It does not differentiate between its customers and focus on providing quality content to all across the globe.

I would suggest that only advertisement doesn't make people to buy it.

7 0
3 years ago
According to Mikey, the founder, Holden Outerwear does not manufacture its garments in the United States because of the: aplicat
wolverine [178]

Answer:

d

Explanation:

The complete question is mentioned in attachment. According to 2nd line and  2nd last line, option d is the ocrrect answer.

3 0
3 years ago
Marigold Company uses a periodic inventory system. For April, when the company sold 550 units, the following information is avai
Mars2501 [29]

Answer:

Marigold Company

Cost of goods sold = $9,119

Ending inventory = $7,461

Explanation:

a) Data and Calculations:

                            Units    Unit Cost    Total Cost

April 1 inventory    250         $14            $ 3,500

April 15 purchase  420           17                 7,140

April 23 purchase 330           18                5,940

Total                    1,000                           $16,580

Weighted-average costs   $16.58

Sales                     550

Cost of goods sold = 550 * $16.58 = $9,119

Ending inventory = 450 * $16.58 = $7,461

b) The first computation is for the total cost of goods available, which is then divided by the total units available for sale.  This gives the weighted-average cost per unit.  This unit cost is then multiplied with the units of ending inventory and sales to obtain the cost of the ending inventory and the cost of goods sold, respectively.

8 0
3 years ago
Financial institutions pay___
Dmitriy789 [7]

Answer: B

Explanation: I work for a bank.

3 0
3 years ago
Read 2 more answers
Sheridan follows the policy of debiting Bad Debt Expense as accounts are written off. The chief accountant maintains that this p
3241004551 [841]

Answer:

(b) By what amount would net income differ if bad debt expense was computed using the percentage-of-receivables approach?

  • Increase the amount of a company's net loss by $ 11.172.  

Explanation:

  • Initial Balance  

Sales $ 2,200,000

Dr Accounts Receivable  $ 93,100

12% Uncollectible $ 11,172

  • (b) By what amount would net income differ if bad debt  

expense was computed using the percentage-of-receivables approach?  

Dr Bad Debt Expense $ 11,172

Cr Allowance for Uncollectible Accounts $ 11,172

If the company applies the allowance method, it means that the account Allowance for Uncollectible Accounts must show as balance the % of accounts receivables as CREDIT.

With this method the Bad Debt Expenses account are reported as expenses in the income statement, this account increase the amount of a company's net loss, in this case the impact it's a loss of $11,172 .

Bad accounts are those credits granted by the company and there is no possibility of being charged.

"When customers buy products on credits but the company cannot collect the debt, then it's necessary  to cancel the unpaid invoice as uncollectible."

One way is to directly cancel bad debts at the time it was decided that the credit is bad, the total amount reported as bad debt expenses negatively affect the income statement and the accounts receivable are reduced by the same amount, less assets.  

The other way is to determine a percentage of the total amount of accounts receivable as bad debts, there are many ways to analyze accounts receivable and calculate the value of bad debts.

When the company has the percentage of uncollectible accounts, the required journal entry is Bad Expenses (debit) with Reserve for Bad Accounts (credit) .

At the time of cancellation, since the expenses were recognized before, we only use the Allowance for Uncollectible Accounts (Debit)  with accounts receivable (credit), with this we are recognizing the bad credit of the company.

8 0
3 years ago
Other questions:
  • Who is the son of the actress who played the mother-in-law of the “Sex and the City” character who graduated Harvard?
    13·1 answer
  • A researcher examining the effects of an experimental surgery on epilepsy randomly assigns epileptic patients to three different
    11·1 answer
  • If an investor possesses a portfolio heavily concentrated in Certificates of Deposit, a financial advisor would most likely sugg
    12·1 answer
  • The ending retained earnings balance of the Taco Heaven restaurant chain increased by $2.6 million from the beginning of the yea
    12·1 answer
  • Some individuals want work that makes minimal intellectual demands and provides the security of routine; for them, ________ is a
    13·1 answer
  • Assume again that the cost of capital is 7 percent and the effective tax rate is 40 percent. How would the payback, internal rat
    15·1 answer
  • Madsen Motors's bonds have 18 years remaining to maturity. Interest is paid annually, they have a $1,000 par value, the coupon i
    7·1 answer
  • Happy new year 2021 guys​
    15·2 answers
  • If the average aggregate inventory value is $100,000 and the cost of goods sold is $450,000, which of the following is inventory
    9·1 answer
  • You discover an unattended email address or fax machine in your office receiving beneficiary appeals requests. You suspect no on
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!