#7 (due Wednesday, 10/25) Extra problem: Record sales and purchases on credit with discounts Provide...
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Accounting
#7 (due Wednesday, 10/25) Extra problem: Record sales and purchases on credit with discounts Provide journal entries for both Castor and Pollux Companies regarding the following transactions. For each transaction, provide the impact to A//L//NI. Castor Co_(". ") is a manufacturing company that produces and sells goods to Pollux Co., a retail company. Castor Co. records cash discounts on credit sales using the gross method. Pollux Co. records cash discounts on credit purchases using the net method and maintains a periodic inventory system. Assume all sales contracts are FOB shipping with no freight fees. Record the inventory entries that Castor Co. would make as the seller assuming they use a perpetual system. On 1//1, Castor Co. sells and ships
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