Question

Smith Shoes completed these merchandising transactions in the month of November. Prepare the journal entries (in the proper format on journal paper) for Smith Shoes for the transactions listed below. OMIT EXPLANATIONS.

11/1 Smith Shoes purchased $3,800 of merchandise on account; terms n / 30 - FOB shipping point.

11/6 Paid freight charges of $100 on the merchandise purchased on 11/1.

11/8 Smith Shoes sold merchandise on account for $2,400, terms 1/10, n/30. The merchandise had an inventory cost of $1,000.

11/12 Of the merchandise sold on 11/8, $800 of it was returned. The items had cost the store $300.

11/15 Smith Shoes paid for the merchandise purchased on 11/1.

11/20 Smith Shoes purchased $5,000 of merchandise from its supplier on account; terms 2/10, n/30.

11/22 Smith Shoes returned $320 worth of damaged merchandise purchased on 11/20.

11/25 Smith Shoes received payment in full from customer of 11/8.

11/26 Smith Shoes paid for the merchandise purchased on 11/20.

Answer 1