Make journal entries for the following business transactions: 10/1/2019 Purchased shelving units (furniture) for $27,000 cash
Question:
Make journal entries for the following business transactions:
10/1/2019 – Purchased shelving units (furniture) for $27,000 cash and video game platforms and televisions (equipment) for $10,000. These will be used in the store. The furniture have an estimated $800 salvage value and the equipment has no estimated salvage value. Estimated useful lives are as follows: Furniture = 4 years, Equipment = 6 years
10/2/2019 – Purchased copies of several different new video game titles to be held for sale. The video games cost a total of $1,378 ($26 for each game) and half of this was paid in cash and the other half was on credit
10/4/2019 – Returned 4 copies of a new video game title purchased on 10/2 to the manufacturer. This was an error in ordering.
Introduction to Financial Accounting
ISBN: 978-0133251036
11th edition
Authors: Charles Horngren, Gary Sundem, John Elliott, Donna Philbrick