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kondor19780726 [428]
3 years ago
12

Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system a

nd the gross method.
Apr. 2 Purchased $6,100 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point.
Apr. 3 Paid $280 cash for shipping charges on the April 2 purchase.
Apr. 4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $650.
Apr. 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise.
Apr. 18 Purchased $11,500 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination.
Apr. 21 After negotiations, received from Frist a $600 allowance toward the $11,500 owed on the April 18 purchase.
Apr. 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount.
Business
1 answer:
Irina-Kira [14]3 years ago
5 0

Answer and Explanation:

The journal entries are shown below:

On April 02

Merchandise inventory  Dr6100

     To Accounts payable-Lyon   6100

On April 03

Merchandise inventory  $280

       To Cash  $280

On April 04

Accounts payable-Lyon  $650

       To Merchandise inventory  $650

On April 17

Accounts payable-Lyon  $5450

        To Merchandise inventory  $109

        To Cash  $5341  [($6100 − $650) × (100% − 2%)]  

On April 18

Merchandise inventory  $11500

    To Accounts payable-First Corp.  $11500

On April 21

Accounts payable-First Corp.  $600

      To Merchandise inventory  $600

On April 28

Accounts payable-First Corp.  $10900

     To Merchandise inventory  $109

     To Cash  $10791 [($11500 − $600) × (100% − 1%)]

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Answer: D. All of the above

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Reducing the amount of labor obviously is a labour saving technical change. Changes in organizational innovation can also result in changes in productivity.

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3 years ago
Pizza International, Inc., reported the following information (in thousands): Operating Activities Net Income $ 236 Depreciation
Aleks04 [339]

Answer:

$22,640

The explanation is shown below:-

Explanation:

The computation of cash flow from operating activities using the direct method is shown below:-

                               Direct method

                            Pizza International, Inc.

                          Statement of cash inflow

Cash flow from operating expenses

Cash received from customers       $143,777

($143,951 - $174)

Cash Paid

To suppliers                                      ($53,773)

($45,700 - $651 + $8,724)

To salaries and wages                     ($56,855)

For office expenses                         ($7,730)

($7,785 + $668 - $723)

For income tax expenses               ($2,779)

($50 + $2,729)

Net cash inflow from operating

activities                                            $22,640

It is mainly due to no depreciation expenses for cash products. Depreciation expenses do not contribute to cash outflows. Because of which company has reported large cash inflow from operations compared to near net loss.

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Accounts receivable arising from sales to customers amounted to $80,000 and $65,000 at the beginning and end of the year respect
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Answer:

d. $165,000

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Basically there are three types of activities:

1. Operating activities: It includes those transactions which affect the working capital, and it records transactions of cash receipts and cash payments.

2. Investing activities: It records those activities which include purchase and sale of the fixed assets

3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance.  

The computation is shown below:

Cash flow from Operating activities  

Net income                   $150,000

Add: Decrease in accounts receivable $15,000      ($65,000 - $80,000)

Net Cash flow from Operating activities           $165,000

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4 years ago
Which feature is a characteristic of a corporation?
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Answer:

A corporation has the ability to enter into contracts, incur liabilities, and buy, sell, or own assets in its corporate name. These provisions can be found in the charter or articles of incorporation. Ownership of a corporation is divided into shares of stock.

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Items
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We know that all the components of M1 are also the components M2.

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Item 1 - Money market mutual funds held by individuals

Item 2- Savings deposits, including money market deposit accounts

Item 5 - Small time deposits

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