Journalize the following transaction that occurred in September 2018 for Oceanic, assuming the perpetual inventory system is being used. No explanation is needed. Identify each account payable and accounts receivable with the vendor or customer name. Oceanic estimates sales return at the end of each month.
Sep.
3 Purchased merchandise inventory on account from Sherry Wholesalers,
$ 5,000. Terms 2/15, n/EOM, FOB shipping point.
4 Paid freight bill of $ 75 on September 3 purchase.
4 Purchase merchandise inventory for cash of $ 2,300.
6 Returned $ 600 of inventory from September 3 purchase.
8 Sold merchandise inventory to Hollingshead Company, $ 5,400, on the account.
Terms 2/15, n/35. Cost of goods, $ 2,160.
9 Purchased merchandise inventory on account from Tristan Wholesalers, $ 8,000.
Terms 2/10, n/30, FOB destination.
10 Made payment to Sherry Wholesalers for goods purchased on September 3, less
return and discount.
12 Received payment from Hollingshead Company, less discount.
13 After negotiations, received a $ 300 allowance from Tristan Wholesalers.
15 Sold merchandise inventory to Jeter Company, $ 2,600, on the account.
Terms n/EOM. Cost of goods, $ 1,144.
22 Made payment, less allowance, to Tristan Wholesalers for goods purchased on
September 9.
23 Jeter Company returned $ 800 of the merchandise sold on September 15. Cost
of goods, $ 352.
25 Sold merchandise inventory to Smith for $ 1,500 on account that cost $ 555.
Terms of 3/10, n/30 was offered, FOB shipping point. As a courtesy to Smith, $45
of freight was added to the invoice for which cash was paid by Red Hawk.
29 Received payment from Smith, less discount.
30 Received payment from Jeter Company, less return.