Powell Company began the Year 2 accounting period with $18,000 cash, $60,900 inventory, $49,700 common stock, and $29,200 retained earnings. During Year 2, Powell experienced the following events:

1. Sold merchandise that cost $37,200 for $75,700 on account to Prentise Furniture Store.

2. Delivered the goods to Prentise under terms FOB destination. Freight costs were $320 cash.

3. Received returned goods from Prentise. The goods cost Powell $1,820 and were sold to Prentise for $3,930.

4. Granted Prentise a $1,190 allowance for damaged goods that Prentise agreed to keep.

5. Collected partial payment of $52,600 cash from accounts receivable.

    

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Required b. Post the beginning balances and journal entries to the T-accounts. Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Cash Inventory Retained Earnings Cost of Goods Sold Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Accounts Receivable Common Stock Sales Revenue Transportation-out Required b. Post the beginning balances and journal entries to the T-accounts. Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Cash Inventory Retained Earnings Cost of Goods Sold Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Beg. Bal End. Bal Accounts Receivable Common Stock Sales Revenue Transportation-out

Answer rating: 100% (QA)

Answer Cash Accounts Receivable Beg Bal 18000 Beg Bal 0 5 70580 320 2 1 75700 3930 3b 1190 4 70580 5 ... View the full answer