70.2K

Verified Solution

Link Copied!

Related and Purchase Related Transactions Using Perpetual Inventory System following were selected from among the transactions completed by Babcock Company during November of the current year: Nov. 3. Purchased merchandise on account from Moonlight Co., list price $85,000, trade discount 25%, terms FOB destination, 2/10, n/30, 4. Sold merchandise for cash, $34,080. The cost of the goods sold was $21,050. 5. Purchased merchandise on account from Papoose Creek Co., $50,800, terms FOB shipping point, 2/10, 1/30, with prepaid freight of $840 added to th 6. Returned $12,000 ($16,000 list price less trade discount of 25%) of merchandise purchased on November 3 from Moonlight Co. 8. Sold merchandise on account to Quinn Co. $16,880 with terms w/15. The cost of the merchandise sold was $9,870. 13. Paid Moonlight Co, on account for purchase of November 3, less return of November 6. 14. Sold merchandise on VISA, $235,560. The cost of the goods sold was $151.770. 15. Pald Papoose Creek Co. on account for purchase of November 5. 23. Received cash on account from sale of November 8 to Quinn Co. 24. Sold merchandise on account to Rabel Co. $61,400, terms 1/10, 1/30. The cost of the goods sold was $35,790. 25. Paid VISA Service fee of $3,090, 30. Pald Quinn Co. a cash refund of $6,560 for returned merchandise from sale of November 8. The cost of the returned merchandise was $3,030. Journalize the transactions. Nov. 3 Nov. 4-sale Nov. 4-cost Nov. 5 O O O O O Nov. 6 o Nov. 8 Nov. 8 Nov. 13 1 1 Nov. 14-sale Nov. 14-cost LA Nov. 15 I l I Nov. 23 Nov. 24-sale LUME Nov. 24-cost Nov. 28 Nov. 30-refund Nov. 30-cost

Answer & Explanation Solved by verified expert

See Answer