Below are separate transactions for Samar Company for the month of October. Prepare the suitable Journal...

 

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Below are separate transactions for Samar Company for the month of October. Prepare the suitable Journal entry under each transaction. 1. The owner Samar invests $80,000 in cash to start her business. 2. Samar company sold $500,000 of merchandise to Sunrise Company terms 2/10, n/30, FOB shipping point. 3. Sunrise Company was granted an allowance of $27,000 for merchandise purchased in transaction (2). 4. Samar Company Purchase equipment for $30,000 from Closets Co. on account. 5. Samar Company established a petty cash fund of $100. 6. The petty cash fund replenished when the fund contains $7 in cash and receipts for postage $52, freight out $26, and travel expense $10. 7. Samar Company paid Closets Co. for the equipment purchased in transaction (4) above. 8. Samar Company received the balance due (related to transaction 2) from Sunrise Company after 20 days. Below are separate transactions for Samar Company for the month of October. Prepare the suitable Journal entry under each transaction. 1. The owner Samar invests $80,000 in cash to start her business. 2. Samar company sold $500,000 of merchandise to Sunrise Company terms 2/10, n/30, FOB shipping point. 3. Sunrise Company was granted an allowance of $27,000 for merchandise purchased in transaction (2). 4. Samar Company Purchase equipment for $30,000 from Closets Co. on account. 5. Samar Company established a petty cash fund of $100. 6. The petty cash fund replenished when the fund contains $7 in cash and receipts for postage $52, freight out $26, and travel expense $10. 7. Samar Company paid Closets Co. for the equipment purchased in transaction (4) above. 8. Samar Company received the balance due (related to transaction 2) from Sunrise Company after 20 days.

Answer rating: 100% (QA)

Journal Entries Date Account title Debit Credit Ca... View the full answer