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Information related to RCo. is presented below. Prepare the journal entries for RCo, a buyer.
a. Apr 05, RCo bought mdse, on account, from JAX for $28,000, terms 2/10n30, FOB shipping pt.
(Did this one for you youre welcome).
b. On Apr 06, paid freight bill of $700 to UPS, for merchandise purchased from JAX.
(FYI Freight-Out means you sell and ship to your customer are you the seller?
NO! So a DR to freight-out is WRONG! But, you incur the $700 cost, which you pay, to
buy INV (BUT a DR to Freight Exp is WRONG as well).
c. On Apr 08, returned $3,600 of merchandise to JAX Company.
d. On Apr 14, paid the amount due to JAX Company.
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| Apr05 | INVENTORY | 28,000 | |
| (a) | ACCOUNTS PAYABLE | | 28,000 |
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| Apr06 | | | |
| (b) | | | |
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| Apr08 | | | |
| (c) | | | |
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| Apr14 | | | |
| (d) | | | |
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