On May 7, 2023, Company A delivers 100 items to a dealership on consignment. The cost of
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Question:
- On May 7, 2023, Company A delivers 100 items to a dealership on consignment. The cost of the items for Company A is $800 per unit. By June 30, 2023, the dealership had sold 60 of the items for $1,200 per unit. The dealership notifies Company A of the sales, and transfers the cash, less 10% commission, to Company A.
- Required:
- Prepare the journal entries for both Company A and the dealership.
Related Book For
Cornerstones of Managerial Accounting
ISBN: 978-0176530884
2nd Canadian edition
Authors: Maryanne M. Mowen, Don Hanson, Dan L. Heitger, David McConomy, Jeffrey Pittman
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