Exercise 52 Assume that on September 1 Office Depot had an i

Exercise 5-2 Assume that on September 1, Office Depot had an inventory that included a variety of calculators. The company uses a perpetual inventory system. During September, these transactions occurred. Sept. Purchased calculators from Dragoo Co. at a total cost of $1,620, terms n/30. 9 Paid freight of $50 on calculators purchased from Dragoo Co 10 Returned calculators to Dragoo Co. for $59 credit because they did not meet specifications. 12 Sold calculators costing $470 for $720 to Fryer Book Store, terms n/30. 14 Granted credit of $45 to Fryer Book Store for the return of one calculator that was not ordered. The calculator cost $31. Sold calculators costing $530 for $770 to Heasley Card Shop, terms n/30. 20 Journalize the September transactions. (If no entry is required, select \"No Entry\" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)

Solution

6-Sep Inventory 1620        Accounts Payable 1620 9-Sep Inventory 50        Cash 50 10-Sep Accounts Payable 59       Inventory 59 12-Sep Accounts Receivable 720       Sales Revenue 720 Cost of Goods Sold 470       Inventory 470 14-Sep Sales Returns and Allowances 45      Accounts Receivable 45 Inventory 31      Cost of Goods Sold 31 20-Sep Accounts Receivable 770       Sales Revenue 770 Cost of Goods Sold 530       Inventory 530