from Tawan and resells them to domestic Canadian markets May

from Tawan and resells them to domestic Canadian markets. Maypole uses a perpetual inventory system A typical transaction stream follows 18 July 24 August 10 September Goods delivered to customer. Agreed-on price, $699 000 Purchased goods for $448,000 Goods repackaged and ready for sale. Cost incurred, $58,900 22 November Customer paid Required 1. Prepare jounal entries assumin g that the revenue is recognised the following critical events: (If no entry is require d for a transaction/event, select \"No journal entry requirec

Solution

Jouranl Entries -

Please note all values are in $.

In case of any clarification required please comment.

Date	General Journal	Debit	Credit
18-Jul	Purchase A/c	448000
	To Accounts payable		448000
	(Being goods purchased on credit)
24-Aug	WIP A/c	58900
	to manufacturing overhead		58900
	(Being cost incurred on goods for repackaging)
24-Aug	finished goods A/c	506900
	To WIP A/c		506900
	(Goods that were completed trasnferred to FG )
10-Sep	Accounts receivable A/c	699000
	To sale A/c		699000
	(Being goods sold on credit)
22-Nov	Cash A/c Dr.	699000
	To Accounts receivable A/c		699000
	(Being debtors paid )