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This information relates to Oriole Co..
1. On April 5, purchased merchandise from Ivanhoe Company for $26,800, terms 3/10, n/30.
2. On April 6, paid freight costs of $750 on merchandise purchased from Ivanhoe Company.
3. On April 7, purchased equipment on account for $32,800.
4. On April 8, returned $3,600 of April 5 merchandise to Ivanhoe Company.
5. On April 15, paid the amount due to Ivanhoe Company in full.
Required:
(a) Prepare the journal entries to record the transactions listed above on Oriole Co.'s books. Oriole Co. uses a perpetual inventory system.
(b) Assume that Oriole Co. paid the balance due to Ivanhoe Company on May 4 instead of April 15. Prepare the journal entry to record this payment.
Answers: 2
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This information relates to Oriole Co..
1. On April 5, purchased merchandise from Ivanhoe Company...
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