Manual Company sells goods to Nolan Company during It offers Nolan the following rebates based on total sales to Nolan. If
total sales to Nolan are units, it will grant a rebate of If it sells up to units, it will grant a rebate of It if sells up to
units, it will grant a rebate of In the first quarter of the year, Manual sells units to Nolan, on account, at a sales price
of $ Based on past experience, Manual has sold over units to Nolan, and these sales normally take place in the third
quarter of the year.
a
Prepare the joumal entries including any rebates that Manual should make to record the sale, on account, of the units in
the first quarter of the year assuming Manual follows IFRS. Ignore any cost of goods sold entry. Credit account titles are
automatically indented when the amount is entered. Do not indent manually. If no entry is required, select No Entry" for the account titles
and enter for the amounts. List all debit entries before credit entries.
Account Titles and Explanation
Debit
Credit
Accounts Recelvable
Sales Revenue
To record sale on account
Accounts Recelvable
I
To record rebate
