How do we record entries of purchase of premium which have the cost given in the question but not the figures

 

Transcribed Image Text:

B125 Exercises Davao Co. manufactures flat screen TV and sells it @ K3,500 each. Company logo coupons of 10 is equivalent of K25 remittance and a portable hard drive will be given which cost the company K150 and it is estimated that 90% of the logo coupons will be redeemed. Show your calculation. 6,000 flat screen TV sets manufactured 5,500 TV sets sold Before the end of the year Davao Company redeemed 80% logo coupons. Requirements: 1. Record the Sales 2. Record the purchase of the premiums (hard drive) 3. Record the redemption of 80% logo coupons 4. Record the liability on the premiums at the end of the year and 5. Prepare the financial statement classification. B125 Exercises Davao Co. manufactures flat screen TV and sells it @ K3,500 each. Company logo coupons of 10 is equivalent of K25 remittance and a portable hard drive will be given which cost the company K150 and it is estimated that 90% of the logo coupons will be redeemed. Show your calculation. 6,000 flat screen TV sets manufactured 5,500 TV sets sold Before the end of the year Davao Company redeemed 80% logo coupons. Requirements: 1. Record the Sales 2. Record the purchase of the premiums (hard drive) 3. Record the redemption of 80% logo coupons 4. Record the liability on the premiums at the end of the year and 5. Prepare the financial statement classification.

Answer rating: 100% (QA)

Journal Entry The tool which helps to record the financial transactions in the books is ... View the full answer