Petersen Book Store entered into the transactions listed below. In the journal provided, prepare Petersen's necessary entries, assuming use of the perpetual inventory system.
July 6 Purchased $1,600 of merchandise on credit, terms n/30.
8 Returned $100 of the items purchased on July 6.
9 Paid freight charges of $90 on the items purchased July 6.
19 Sold merchandise on credit for $4,400, terms 1/10, n/30. The merchandise had an inventory cost of $2,700.
22 Of the merchandise sold on July 19, $300 of it was returned. The items had cost the store $150.
28 Received payment in full from the customer of July 19.
31 Paid for the merchandise purchased on July 6.

Question

Quizplus · Accepted Answer

The Answer of Petersen Book Store entered into the transactions listed below. In the journal provided, prepare Petersen's necessary entries, assuming use of the perpetual inventory system.
July 6 Purchased $1,600 of merchandise on credit, terms n/30.
8 Returned $100 of the items purchased on July 6.
9 Paid freight charges of $90 on the items purchased July 6.
19 Sold merchandise on credit for $4,400, terms 1/10, n/30. The merchandise had an inventory cost of $2,700.
22 Of the merchandise sold on July 19, $300 of it was returned. The items had cost the store $150.
28 Received payment in full from the customer of July 19.
31 Paid for the merchandise purchased on July 6.

Petersen Book Store Entered into the Transactions Listed Below