Following are the merchandising transactions for Q Systems. 1. On November 1, Q Systems purchases...
70.2K
Verified Solution
Link Copied!
Question
Accounting
Following are the merchandising transactions for Q Systems.
1. On November 1, Q Systems purchases merchandise for $1500 on credit with terms of 2/5, n/30, FOB shipping point; invoice dated November 1.
2. On November 5, Q Systems pays cash for the November 1 purchase.
3. On November 7, Q Systems discovers and returns $200 of defective merchandise purchased on November 1 for a cash refund.
4. On November 10, Q Systems pays $90 cash for transportation cost with November 1 on purchase.
5. On Novermber 13, Q Systems sell merchandise for $1600 on credit. The cost of the merchandise is $800.
6. On November 16, the customer returns merchandise from the November 13 transaction. The returned items would sell for $300 and cost $130; the items were not damaged and were returned to inventory.
Journalize the above merchandising transactions for Q Systems assuming it uses a perpetual inventory system.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
