Book Nook Warehouse distributes hardcover books to retail stores and extends credit terms of 2/10, n/30 to

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Book Nook Warehouse distributes hardcover books to retail stores and extends credit terms of 2/10, n/30 to all of its customers. At the end of May, Book Nook's inventory consisted of books purchased for $1,800. During June, the following merchandising transactions occurred.
June 1 Purchased books on account for $1,850 from Phantom Publishers, FOB destination, terms 2/10, n/30. The appropriate party also made a cash payment of $50 for the freight on this date.
3 Sold books on account to Ex Libris for $2,500. The cost of the books sold was $1,440.
6 Received $150 credit for books returned to Phantom Publishers.
9 Paid Phantom Publishers in full, less discount.
15 Received payment in full from Ex Libris.
17 Sold books on account to Bargain Books for $1,800. The cost of the books sold was $1,020.
20 Purchased books on account for $1,500 from Bookem Publishers, FOB destination, terms 2/15, n/30. The appropriate party also made a cash payment of $50 for the freight on this date.
24 Received payment in full from Bargain Books.
26 Paid Bookem Publishers in full, less discount.
28 Sold books on account to Corner Bookstore for $1,300. The cost of the books sold was $850.
30 Granted Corner Bookstore $120 credit for books returned costing $72.
Book Nook Warehouse's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No. 201 Accounts Payable, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts, and No. 505 Cost of Goods Sold.

Instructions
Journalize the transactions for the month of June for Book Nook Warehouse using a perpetual inventory system.

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Related Book For  answer-question

Financial and managerial accounting

ISBN: 978-1118016114

1st edition

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

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