Transaction 5 Sales were 80000 Cost of merchandise sold was

Transaction 5:

Sales were $80,000. Cost of merchandise sold was 55% of its sales price. 30% of the sales were for cash. [Note: Record the complete entry for the sales first and the complete entry for the expenses second]

Options for Account portion:

Cash

Accounts Recievable

Inventory

Prepaid Rent

Fixtures and Equipment

Accounts Payable

Interest Payable

Wages Payable

Notes Payable

Paid-In Capital

Retained Earnings

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Need answers to:

Account: ? Dollar Amount: ?

Account: ? Dollar Amount: ?

Account: ? Dollar Amount: ?

Account: ? Dollar Amount: ?

Account: ? Dollar Amount: ?

Solution

1 Accounts receivable 56000 Cash 24000            Sales revenue 80000 2 Cost of goods sold 44000 (80000*55%)            Merchandise inventory 44000