ASSETS = LIABILITIES + STOCKHOLDER EQUITY

Use a tabular summary to record the following transactions for Crane Company using a perpetual inventory system. Include margin explanations for the changes in revenues and expenses. (a) On March 2, Crane Company sold $1,008,000 of merchandise to Sheridan Company on account. The cost of the merchandise sold was $680,400. (b) On March 6, Sheridan Company returned $176,400 of the merchandise purchased on March 2. The cost of the merchandise returned was $118,440. (c) On March 12, Crane Company received the balance due from Sheridan Company. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Assets = Cash + Accts. Rec. + Inv. = a) Mar. 2 $ ta $ b) 6 c ) c 12 + Stockholders' Equity Retained Earnings + Common Stock + Rev. Exp. $ ta $ ta