A merchandiser,following the perpetual inventory system,has the following transactions during August,2017:
$\begin{array}{lll}
\text { Date } & \text { Transaction } & \text { Amount } \
\text { Aug. 5 } & \text { Purchased inventory on account } & \$ 300,000 \
\text { Aug. } 9 & \text { Paid for transportation of goods purchased } & 25,000 \
\text { Aug. 10 } & \text { Returned defective merchandise to the seller } & 20,000 \
\text { Aug. 15 } & \text { Paid for goods purchased on August 5 } & ?
\end{array}$
Credit terms of invoice are 2/15,n/45.Give journal entries for the above transactions.

Question

A merchandiser,following the perpetual inventory system,has the following transactions during August,2017:
 $\begin{array}{lll}
\text { Date } & \text { Transaction } & \text { Amount } \
\text { Aug. 5 } & \text { Purchased inventory on account } & \$ 300,000 \
\text { Aug. } 9 & \text { Paid for transportation of goods purchased } & 25,000 \
\text { Aug. 10 } & \text { Returned defective merchandise to the seller } & 20,000 \
\text { Aug. 15 } & \text { Paid for goods purchased on August 5 } & ?
\end{array}$
 Credit terms of invoice are 2/15,n/45.Give journal entries for the above transactions.

Quizplus · Accepted Answer

The Answer of A merchandiser,following the perpetual inventory system,has the following transactions during August,2017:
 $\begin{array}{lll}
\text { Date } & \text { Transaction } & \text { Amount } \
\text { Aug. 5 } & \text { Purchased inventory on account } & \$ 300,000 \
\text { Aug. } 9 & \text { Paid for transportation of goods purchased } & 25,000 \
\text { Aug. 10 } & \text { Returned defective merchandise to the seller } & 20,000 \
\text { Aug. 15 } & \text { Paid for goods purchased on August 5 } & ?
\end{array}$
 Credit terms of invoice are 2/15,n/45.Give journal entries for the above transactions.

A Merchandiser,following the Perpetual Inventory System,has the Following Transactions During