Chapter_5_Student

3

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Explain the recording of sales revenues SO under a perpetual inventory system. under Recording Sales of Merchandise Recording Sales of Merchandise E5-5 Prepare the journal entries for Wheeler Company. 2. Variation On Dec. 8, Hashmi Co. returned merchandise for credit of $27,000. The original cost of the merchandise to Wheeler was $19,800. Dec. 8 Chapter 5-24 SO 3 Explain the recording of sales revenues SO under a perpetual inventory system. under Recording Sales of Merchandise Recording Sales of Merchandise E5-5 Prepare the journal entries for Wheeler Company . 3. On December 13, Wheeler Company received the balance due from Hashmi Co. Dec. 13 * ** *** * ($473,000 – $9,460) ** [($500,000 – $27,000) X 2%] *** ($500,000 – $27,000) Chapter 5-25 SO 3 Explain the recording of sales revenues SO under a perpetual inventory system. under Recording Sales of Merchandise Recording Sales of Merchandise E5-5 Prepare the sales revenue section of the income statement for Wheeler Company. Wheeler Company I ncome St at ement (Part ial) For t he Mont h Ended Dec. 31, Sales revenue S ale s Le s s : S ale s r e t ur ns and a llo wa nc e s S ale s d is c o unt s N et sales Chapter 5-26 $ 5 0 0 ,0 0 0 (2 7 ,0 0 0 ) (9 ,4 6 0 ) 463, 540 SO 3 Explain the recording of sales revenues SO under a perpetual inventory system. under Completing the Accounting Cycle Completing the Accounting Cycle Adjusting Entries Generally the same as a service company. One additional adjustment to make the records agree with the actual inventory on hand. Involves adjusting Merchandise Inventory and Cost of Goods Sold. Chapter 5-27 SO 4 Explain the steps in the accounting cycle for a merchandising company. Completing the Accounting Cycle Completing the Accounting Cycle Closing Entries Close all accounts that affect net income. E5-8 Presented is information related to Rogers Co. for the month of January 2008. Rogers uses the perpetual inventory method. End ing inve nt o r y pe r b o o k s $ 2 1,6 0 0 Re nt e x pe ns e End ing inve nt o r y pe r c o unt 2 1,0 0 0 S alar y e x pe ns e 6 1,0 0 0 Co s t o f g o o d s s o ld 2 18 ,0 0 0 S ale s d is c o unt 10 ,0 0 0 Fr e ig h t ­ o ut 7 ,0 0 0 S ale s r e t ur ns 13 ,0 0 0 I ns ur anc...
View Full Document

This note was uploaded on 10/21/2013 for the course ISDS 2000 taught by Professor Nunnery during the Fall '08 term at LSU.

Ask a homework question - tutors are online