Homework SourseJournalize entries for the following related transactions of
Journalize entries for the following related transactions of Manville Heating & Air Company. Refer to the Chart of Accounts for exact wording of account titles. Mar. 1 Purchased $55,100 of merchandise from Wright Co. on account, terms 2/10, n/30. 9 Paid the amount owed on the invoice within the discount period. 11 Discovered that $7,200 of the merchandise purchases on Mar. 1 was defective and returned items, receiving credit. 18 Purchased $6,200 of merchandise from Wright Co. on account, terms n/30. 20 Received a refund from Wright Co. for return on Mar. 11 less the purchase on Mar. 18.
Solution
Accounting purchases under periodic inventory system.
| Date | Account | Debit | Credit |
| Mar.1 | Purchases | 55,100 | |
| Accounts payable | 55,100 | ||
| Mar.9 | Accounts payable | 55,100 | |
| Purchase discounts | 1,102 | ||
| Cash | 53,998 | ||
| Mar.11 | Accounts receivable | 7,056 | |
| Purchase returns and allowances | 7,200 | ||
| Purchase discounts | 144 | ||
| Mar.18 | Purchases | 6,200 | |
| Accounts payable | 6,200 | ||
| Mar.20 | Cash | 856 | |
| Accounts payable | 6,200 | ||
| Accounts receivable | 7,056 |
