6) Johnnycake Restaurant uses a periodic inventory system and the gross method of accounting for purchases. Prepare general journal entries to record the following transactions for Johnnycake:

Aug. 10	Johnnycake purchased merchandise on credit from Foster Foods for $9,000, terms 2/10, n/30, FOB destination. Transportation costs of $350 were paid by Foster.
12	Johnnycake returned $600 of merchandise from the August 10 purchase.
19	Johnnycake paid Foster for the August 10 purchase.

Answer rating: 100% (QA)

General Journal Entries for Johnnycake Restaurant August 10 Debit Merchandise Inventory 9000 Credit ... View the full answer