The following selected transactions were completed during May between Stewart Company and Frang Company:
May 2. Stewart Company sold merchandise on account to Frang Company, $16,000, terms FOB shipping point, 2/10, n/30. Stewart Company paid freight of $375, which was added to the invoice. The cost of the goods sold was $10,000.
12. Frang Company paid Stewart Company for purchase of May 2, less discount.
24. Stewart Company sold merchandise on account to Frang Company, $13,200, terms FOB shipping point, n/eom. The cost of the goods sold was $8,000.
26. Frang Company paid freight of $290 on May 24 purchase from Stewart Company.
30. Frang Company paid Stewart Company on account for purchase of May 24.
Instructions
Journalize the May transactions for
(1) Stewart Company
(2) Frang Company, assuming both companies use the perpetual inventory system.