On July Cullumber Ltd sold GPS systems to retailers on account for a selling price of $cost $
Cullumber grants the right to return systems that do not sell in three months following delivery. Past experience indicates that the
normal return rate is By October following the collection on account, retailers returned systems to Cullumber and
were granted credits of $ The company follows IFRS.
a
Prepare Cullumber's journal entries to record the sale on July 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.
Date Account Titles and Explanation
Debit
Credit
July
To record sale
July
To record cost of goods sold
