70.2K

Verified Solution

Link Copied!

Ragnvindr Company have the following beginning balances as at December 1, 2021 are listed below: Cash Accounts Receivable Merchandise Inventory 214,000 338,000 31,000 Accounts payable 172,000 The following transactions occurred during the month of December 2020 (use periodic inventory system): Dec. 1 Settled the accounts payable of P115,000 less 2% discount 3 Collected the accounts receivable of P180,000 less 3% discount 4 Sold merchandise on account to KAEYA SUPPLIES, P210,000. Terms: FOB destination, 3/10, n/30. KAEYA SUPPLIES paid the freight for P3,000 5 Received returns from KAEYA SUPPLIES, P25,000 7 Purchased merchandise from JEAN PRODUCTS, P232,000. Terms: FOB Shipping Point, 2/10, n/30. Ragnvindr Company paid P2,000 for the transportation cost. 9 Returned goods to JEAN PRODUCTS, P12,000 acquired on December 7 11 Received payment from KAEYA SUPPLIES for the amount due 12 Sold merchandise to LISA SHOPPERS, P330,000. Terms: FOB Shipping Point, 3/10, n/30 18 Received payment from LISA SHOPPERS from the December 12 sales 19 Sold merchandise to KLEE SHOP, P242,000. Term: FOB Shipping Point, 3/10, n/30. Ragnvindr Company paid P5,000 for the freight 29 Received from KLEE SHOP returned merchandise in the amount of P18,000 from the December 19 sales 30 The owner, withdrew merchandise for personal use. Cost - P20,000. Additional information (3 points each) A count of the inventory amounted to P453,000 on December 31, 2021 Required: Provide the following balances after adjusting and closing entries have been made: 1. Cash balance 2. Accounts Receivable 3. Cost of Goods Sold 4. Accounts Payable 5. Net Sales 6. Net Purchases 7. Net Income

Answer & Explanation Solved by verified expert

See Answer