FREE Trial

On June 3, Bolton plc sold to Arquette Company merchandise having a sales price of 2,000 with terms of 2/10,

Question:

On June 3, Bolton plc sold to Arquette Company merchandise having a sales price of £2,000 with terms of 2/10, n/60. An invoice totaling £90, terms n/30, was received by Arquette on June 8 from John Booth Transport Service for the freight cost. On June 12, the company received a check for the balance due from Arquette Company.


Instructions

a. Prepare journal entries on the Bolton plc books to record sales and receivables for all the events noted above under each of the following bases.

1. Sales and receivables are entered at gross selling price.

2. Sales and receivables are entered at net of cash discounts.

b. Prepare the journal entry under basis (a)(2), assuming that Arquette Company did not remit payment until July 29.

This problem has been solved!


Do you need an answer to a question different from the above? Ask your question!

Step by Step Answer:

Answer rating: 83% (6 reviews)

a 1 Sales and rece iv ables are entered at gross selling price June …View the full answer


answer-question
Answered By
tutor-profile-image
SHINKI JALHOTRA
I have worked with other sites like Course Hero as a tutor and I have great knowledge on IT skills.
0.00 0 Reviews 10+ Question Solved
Related Book For  answer-question
Intermediate Accounting IFRS

Intermediate Accounting IFRS

ISBN: 9781119607519

4th Edition

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

See More Books
Question Details
Chapter # 7
Section: Exercises
Problem: 5
View Solution
Create a free account to access the answer
Cannot find your solution?
Post a FREE question now and get an answer within minutes. * Average response time.
Question Posted: July 29, 2021 08:54:17
See More Questions

Related Video

A journal entry is an act of keeping or making records of any transactions either economic or non-economic. Transactions are listed in an accounting journal that shows a company\'s debit and credit balances. The journal entry can consist of several recordings, each of which is either a debit or a credit

Students also viewed these Business questions

Q:
Perform disconnection analysis and step up retrosynthetic reactions with fructones as molecules Target of the molecule below. bil 0 Frukton (Ethyl (2-methyl-1,3-dioxolan-2-yl)acetate wwwwwwwwwwww
A:
Retrosynthetic analysi......
Q:
Product A has a sales price of $10 per unit. Based on a 10,000-unit production level, the variable costs are $6 per unit and the fixed costs are $3 per unit. Using a flexible budget for 12,500 units,...
A:
C 20 000 Computation of Net income under flexible budget 10......
Q:
Bolton Garage Doors Corporation sold merchandise with a gross price of $22,500 to Sammy's Wholesale Company. Bolton offered terms of 2/10, n/30 and uses the gross method. Required: Prepare the...
A:
Cash 22......
Q:
Develop a two-period weighted moving average forecast for periods 12 through 15. Use weights of 0.7 and 0.3, with the most recent observation weighted higher. PERIOD DEMAND 10............ 248...
A:
tr mso height source auto col mso width source auto br mso data placement same cell style0 mso numbe......
Q:
a. y = sin x, 0 x b. x = y - y , 1 y 4
A:
a b x y y dx dy 1 2y......
Q:
1. What would be the key barriers in the early days of internationalization if TOMS Shoes decided to expand to Europe? 2. What have been the driving forces (motives) for the early...
A:
1 Key barriers The shoes are not cheap approximately 55 per pair This is more than at most of the discount shoe retailers Europe does not know the com......
Q:
Explain method of revenue recognition from services using proportionate completion method.
A:
The proportionate completion method is an accounting method that recognizes revenue from long term service contracts in proportion to the percentage o......
Q:
B. J. Bakery had the following transactions involving intangible assets : Jan. 1 Purchased a patent for a new pastry for $10,000 and estimated its useful life to be 10 years. Apr. 1 Purchased a...
A:
1 Patent 10 000 10 1 000 per year 1 000 Copyright 5 000 5 1 000 per year 9......
Q:
Discuss why the concept of "Employment-at-will" should or should not be a prevailing practice in today's employment arena.
A:
The concept of employment at will is a longstanding principle in the employment relationship in the United States It means that either the employer or the employee can terminate the employment relatio......
Q:
Phoenix Management helps rental property owners find renters and charges the owners one-half of the first months rent for this service. For August 2010, Phoenix expects to find renters for 100...
A:
2 Professional labor rate and efficiency variances for August Labor rate variance AQ x AP SP 400 hrs......
Q:
Wilton, AG had net sales in 2022 of 1,400,000. At December 31, 2022, before adjusting entries, the balances in selected accounts were Accounts Receivable 250,000 debit, and Allowance for Doubtful...
A:
DATE DETAILS Debit Credit 31 Dec bad debts expense 17600 allowance for bad and doub......
Q:
The following is information related to the Accounts Receivable accounts of Gulistan AG during the current year 2022. 1. An aging schedule of the accounts receivable as of December 31, 2022, is as...
A:
Based on the information provided the following are the necessary correcting entries for the Accounts Receivable accounts of Gulistan AG To adjust the......
Q:
Find the equation and sketch the graph of the following lines. Vertical and 4 units to the right of the y-axis.
A:
The equation of......
Q:
1. Consider a software system that computes income tax based on annual gross income (AGI) according to the following rules: . . . . The tax will be exempted for AGI $50000 and below. For the next...
A:
i Equivalence Partitioning EP Based on the given specification we can identify the following partiti......
Q:
The following algorithm concerns what happens when we take any positive integer n: If n is even, then n is updated to n/2; if n is odd, then n is updated to 3*n+1. The algorithm is continually...
A:
import java util Scanner public class Collatz public......
Q:
Ambev is considering introducing a soft drink to the U.S. market. The drink will initially be introduced only in the metropolitan areas of the U.S. and the cost of this limited introduction is $500...
A:
a The Net Present Value NPV of the project can be calculated as the present value of the expected fu......
Q:
You've just joined the investment-banking firm of JP Morgan. They've offered you two different salary arrangements. The salary will be received monthly. You can have $75,000 per year for the next two...
A:
Let s break this down into present values to see which option is better For the first option of 75 0......
Q:
5 Solve the following problems and give the answers rounded to the proper num- ber of significant digits. (a) y = 0.0214t +0.363 5t +2.25 for t = 32 (b) 24.56 ft x 12 in./ft = ? inches (c) $400 a...
A:
Sure here are the solutions to the problems a To find v for t 32 we need to plug t 32 into the equat......
Q:
Explain what is meant by the Incorporation Doctrine and how it was used to expand the impact of the due process clause.
A:
The Incorporation Doctrine has been used by judges and justices......
Q:
How will relating product contribution margin s to the amount of the constrained resource they consume help a company maximize its profits?
A:
Assuming that fixed costs are not affected profits are......
Q:
Using the appropriate interest table, compute the present values of the periodic amounts, shown on page 344, due at the end of the designated periods. (a) $50,000 receivable at the end of each period...
A:
a 50 000 X 4 96764 248 382 b 50......
Q:
What would you pay for a $100,000 debenture bond that matures in 15 years and pays $10,000 a year in interest if you wanted to earn a yield of? (a) 8%? (b) 10%? (c) 12%?
A:
a 100 000 X 31524 31 524 00 10 000......
Q:
Kross Company purchased a machine at a price of $100,000 by signing a note payable, which requires a single payment of $118,810 in 2 years. Assuming annual compounding of interest, what rate of...
A:
The rate of interest is determined by dividing the future value by......
British Battleships 1939-45-1 Queen Elizabeth And Royal Sovereign Classes 1st Edition - ISBN: 1846033888 - Free Book