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Exercise $8-11($Algo$)$ Trade and purchase discounts; the gross method and the net method compared $[$LO$8-3]$

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Comfort Company purchased $290$ units of inventory on November $17,2024.$ The units have a list price of $$200$ each, but Comfort was given a $25\%$ trade discount. The terms of the sale were $310/$

$,$ n$30/$

$.$ Comfort uses a perpetual inventory system.

Exercise $8-11($Algo$)$ Parts $1$ and $2$

Required:

Prepare the journal entries to record the $($a$)$ purchase by Comfort on November $17$ and $($b$)$ payment on November $26,2024.$ Comfort uses the gross method of accounting for purchase discounts.

Prepare the journal entry for the payment, assuming instead that it was made on December $15,2024.$Prepare the journal entries to record the $($a$)$ purchase by Comfort on November $17$ and $($b$)$ payment on November $26,2024.$ Comfort uses the gross method of accounting for purchase discounts.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

No Date General Journal Debit Credit

$1$ November $17,2024$ Inventory $43,500$

Accounts payable $43,500$

$2$ November $26,2024$ Accounts payable $43,500$

Inventory $870$

Cash $42,630$

Required $1$Required $2$Prepare the journal entries to record the $($a$)$ purchase by Comfort on November $17$ and $($b$)$ payment on November $26,2024.$ Comfort uses the gross method of accounting for purchase discounts.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

No Date General Journal Debit Credit

$1$ November $17,2024$ Inventory $43,500$

Accounts payable $43,500$

$2$ November $26,2024$ Accounts payable $43,500$

Inventory $870$

Cash $42,630$

Required $1$Required $2$Prepare the journal entry for the payment, assuming instead that it was made on December $15,2024.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

No Date General Journal Debit Credit

$1$ December $15,2024$ Accounts payable $43,500$

Cash $43,500$