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The following selected transactions were completed during August between Summit Co. and Beartooth Co.: Aug. 1 Summit Co. sold merchandise on account to Beartooth Co., $43,500, terms FOB destination, 2/15, n/eom. The cost of the merchandise sold was $29,330. 2 Summit Co. paid freight of $1,110 for delivery of merchandise sold to Beartooth Co. on August 1. 5 Summit Co. sold merchandise on account to Beartooth Co., $69,400, terms FOB shipping point, n/eom. The cost of the merchandise sold was $42,440. 9 Beartooth Co. paid freight of $2,310 on August 5 purchase from Summit Company. 15 Summit Co. sold merchandise on account to Beartooth Co., $61,000, terms FOB shipping point, 1/10, n/30. Summit Company paid freight of $1,555, which was added to the invoice. The cost of the merchandise sold was $37,780. 16 Beartooth Co. paid Summit Company for purchase of August 1. 20 Summit Company paid Beartooth Co. a refund of $1,800 for defective merchandise in the August 1 purchase. Beartooth Co. agreed to keep the merchandise. 25 Beartooth Co. paid Summit Company on account for purchase of August 15. 31 Summit Company granted a customer allowance (credit memo) to Beartooth Co. for $6,000 (invoiced amount) for merchandise that was returned from the August 1 purchase. The cost of the merchandise returned was $3,200. Required: Journalize the August transactions for (1) Summit Co. and (2) Beartooth Co. Refer to the Chart of Accounts of the appropriate company for exact wording of account titles.
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The following selected transactions were completed during August between Summit Co. and Beartooth Co...
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