BabiAngell
Jul 19, 2009, 09:10 AM
a) Purchased merchandise for sale on Oct 1 for $3,600 to be paid by Oct 30
b) Sold merchandise for $900 cash on Oct 3. Merchandise cost Rose's $270.
c) Sold merchandise for $1,800 on credit on Oct 6. Merchandise cost Rose's $590.
d) Ordered $2,150 of merchandise on Oct 7 forom a supplier.
e) $400 of the merchandise purchased on Oct 1 spoiled on Oct 9 and had to be trashed, resulting in a spoilage expense.
f) Paid $1,800 on Oct 10 to suppliers from merchandise purchased Oct 1.
g) Received $1,200 on Oct 16 from customers for sales on Oct 6.
This is what I came up with but I'm not sure about it, please help
Assets = Liabilities + Owner’s Equity
=
Date A/Cs Cash Other
Assets + Contributed Capital Retained E
Oct 1 Merc $3,600
A/C Payable $3,600
Oct 3 Cash $900
Merc. -$900
Oct 3 COGS -$270
Merc Inv. -$270
Oct 6 A/C Recv $1,800
Sales Rev $1,800
Oct 6 Merc. Inv. $590
Oct COGS -$590
Oct 7 Merc $2,150
Oct A/C Payable $2,150
Oct 9 -$400 -400
Oct
Oct 10 Cash -$1,800
Oct -$1,800
Oct 16 Cash $1,200
Oct A/C Recv -$1,200
Ending Amounts $ $ $ $ $
b) Sold merchandise for $900 cash on Oct 3. Merchandise cost Rose's $270.
c) Sold merchandise for $1,800 on credit on Oct 6. Merchandise cost Rose's $590.
d) Ordered $2,150 of merchandise on Oct 7 forom a supplier.
e) $400 of the merchandise purchased on Oct 1 spoiled on Oct 9 and had to be trashed, resulting in a spoilage expense.
f) Paid $1,800 on Oct 10 to suppliers from merchandise purchased Oct 1.
g) Received $1,200 on Oct 16 from customers for sales on Oct 6.
This is what I came up with but I'm not sure about it, please help
Assets = Liabilities + Owner’s Equity
=
Date A/Cs Cash Other
Assets + Contributed Capital Retained E
Oct 1 Merc $3,600
A/C Payable $3,600
Oct 3 Cash $900
Merc. -$900
Oct 3 COGS -$270
Merc Inv. -$270
Oct 6 A/C Recv $1,800
Sales Rev $1,800
Oct 6 Merc. Inv. $590
Oct COGS -$590
Oct 7 Merc $2,150
Oct A/C Payable $2,150
Oct 9 -$400 -400
Oct
Oct 10 Cash -$1,800
Oct -$1,800
Oct 16 Cash $1,200
Oct A/C Recv -$1,200
Ending Amounts $ $ $ $ $