During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events...

 

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During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows: June 3 Purchased goods for $4,300 from Diamond Incorporated with terms 2/10, n/30. June 5 Returned goods costing $1,200 to Diamond Incorporated for credit on account. June 6 Purchased goods from Club Corporation for $1,050 with terms 2/10, n/30. June 11 Paid the balance owed to Diamond Incorporated. June 22 Paid Club Corporation in full. Required: Prepare journal entries to record the transactions, assuming Ace records discounts using the net method in a perpetual inventory system. Forfeited discounts are charged to Other Operating Expenses. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows: June 3 Purchased goods for $4,300 from Diamond Incorporated with terms 2/10, n/30. June 5 Returned goods costing $1,200 to Diamond Incorporated for credit on account. June 6 Purchased goods from Club Corporation for $1,050 with terms 2/10, n/30. June 11 Paid the balance owed to Diamond Incorporated. June 22 Paid Club Corporation in full. Required: Prepare journal entries to record the transactions, assuming Ace records discounts using the net method in a perpetual inventory system. Forfeited discounts are charged to Other Operating Expenses. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

Answer rating: 100% (QA)

Here are the journal entries to record the transactions June 3 Purchased goods fro... View the full answer