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Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for...

Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for both purchase & sales are, FOB Destination, 2/10, n30 and the gross method is used. > Alpha Company sold on account merchandise costing $3,000 to Bravo Company on May 2, 2016. Selling price was $4,500. Freight charges related to this transaction of $200 were paid by Alpha Company. > Bravo Company returned, to Alpha Company, merchandise with an original cost to Alpha of $300 on May 3, 2016. Merchandise was sold to Bravo for $450 Use this information to prepare Alpha Company's General Journal entries (without explanation) for May 2 & May 3 entries. If no entry is required then write "No Entry Required.

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Answer #1
Date Account Titles and Explanation Debit Credit
May 2 Accounts Receivable       4,500
Freight out          200
Sales       4,500
Cash         200
May 3 Sales return and allowances          450
Accounts Receivable         450
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