Wu International completed the following transactions during July. Wu uses the periodic inventory system in accounting for

Question:

Wu International completed the following transactions during July. Wu uses the periodic inventory system in accounting for inventory.

Jul 2 Sold merchandise worth $4,500 to Hung on account, with terms of 2/15, n/30, FOB shipping point.

7 Sold merchandise worth $7,800 to Lee on account, with terms of 2/15, n/30, FOB shipping point.

8 Lee returned $300 of merchandise.

14 Sold merchandise to a customer for $2,500. Customer paid with a credit card. The credit card company charged a 2% service fee.

17 Received payment from Hung.

21 Received payment from Lee.

Requirements

1. Calculate the net sales for July.

2. Prepare the journal entries to record the transactions that occurred in July.

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Req 1 Sales 14800 Sales Returns and Allowances 300 Sales Discounts 240 Net Sales 14260 Re...View the full answer

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ISBN: 978-0132889711

1st Canadian Edition

Authors: Jeffrey Waybright, Liang Hsuan Chen, Rhonda Pyper

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Question Posted: Jul 08, 2015 02:34 AM

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Wu International completed the following transactions during July. Wu uses the periodic inventory system in accounting for

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Req 1 Sales 14800 Sales Returns and Allowances 300 Sales Discounts 240 Net Sales 14260 Re...View the full answer

Financial Accounting

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