Prepare Journal entries to record the following merchandising transactions of Lowe's, which uses the perpetual inventory system and the gross method.
August Purchased merchandise from Aron Company for $ under credit terms of FB destination, involce dated August
August Sold merchandise to Baird Corporation for $ under credit terms of FB destination, invoice dated August The merchandise had cost $
August Purchased merchandise from Waters Corporation for $ under credit terms of FB shipping point, invoice dated August
August Paid $ cash for shipping charges related to the August sale to Baird Corporation.
August Baird returned merchandise from the August sale that had cost Lowe's $ and was sold for $ The merchandise was restored to inventory.
August After negotiations with Waters Corporation concerning problems with the purchases on August Lowe's received a price reduction from Waters of $ off the $ of goods purchased. Lowe's debited accounts
August At Aron's request, Lowe's paid $ cash for freight charges on the August purchase, reducing the amount owed accounts payable to Aron.
August Recelved balance due from Baird Corporation for the August sale less the return on August
August Paid the amount due Waters Corporation for the August purchase less the price allowance from August
August Sold merchandise to Tux Company for $ under credit terms of FOB shipping point, invoice dated
August Tux requ. The merchandise had cost $
Lowe's gaved a price reduction on the August sale because the merchandise did not meet specifications. anount.
August Received
August Paid Aron Company the amount due from the August purchase.
Journal entry worksheet
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Received balance due from Baird Corporation for the August sale less the return on August
Nate: Enter debits before credits:
tableDateGeneral Journal,Debit,CreditAugust Cash,,Sales discounts,,Accounts receivable Baird,,
