[accounting1975]

I need help journalizing purchase and sale transactions perpetual inventory. Purchases inventory on terms 1/15, n/eom, $5000. How would I journalize this?

[ben234]

Lefty, Inc. entered into a stock subscription contract that called for the purchase by investors of 10000 shares of $5 par common stock at a price of $30 per share.
The contract required a down payment of $12 per share, with the remaining $18 per share collectible at the end of three months.
a, Prepare the journal entry to record the stock subscription and down payment.
b, The subscribers paid the remainder at the end o three months. Prepare the journal entry to record the final pay met and the issuance of the shares of stock.

[pready]

Debit Inventory for 5,000
Credit Accounts Payable fro 5,000