Chapter 7 - Accounting for sales and accounts receivable. After reading this chapter, you should be able to: Record credit sales in a sales journal, post from the sales journal to the general ledger accounts, post from the sales journal to the customers' accounts in the accounts receivable subsidiary ledger, record sales returns and allowances in the general journal, post sales returns and allowances,...
In this book, I take you through the continuous cycle of bookkeeping, which begins with
setting up your company’s books, developing a list of your company’s accounts (Chart of
Accounts; see Chapter 3), developing your company’s General Ledger (which summarizes all
the activity in a company’s accounts; see Chapter 4), and developing your company’s journals
(which give details about all of a company’s financial transactions; see Chapter 5).
Chapter 6 - Reporting and interpreting sales revenue, receivables and cash. After studying this chapter, you should be able to: Apply the revenue principle to determine the accepted time to record sales revenue for typical retailers, wholesalers, manufacturers, and service companies; analyze the impact of credit card sales, sales discounts, and sales returns on the amounts reported as net sales; analyze and interpret the gross profit percentage;...
Andre Sampri Sporting Goods Store purchases sporing goods merchandise on account from various vendors. Below is an invoice from Tennis Wear World.
Prepare Andre Sampri’s journal entries for each of the following transactions, assuming use of a periodic inventory system and the “gross method” of recording:
To record the invoice on May 15.
To record the return of the Summer Fun collection on May 17.
To record the payment of the balance due if payment occurred on May 20.
To record the payment of the balance due if payment occurred on May 30....
Chapter 8 - Receivables. In this chapter, you will learn: The methods used to estimate uncollectible accounts and the net realizable value of accounts receivable; how firms estimate and record sales returns and allowances; how to evaluate whether or not receivables arose from real sales.
Chapter 6 - Reporting and interpreting sales revenue, receivables, and cash. In this chapter, students will be able to understand: Apply the revenue principle to determine the accepted time to record sales revenue for typical retailers, wholesalers, manufacturers, and service companies; analyze the impact of credit card sales, sales discounts, and sales returns on the amounts reported as net sales; analyze and interpret the gross profit percentage.
Chapter 5 - Receivables and sales. In this chapter you will learn: Recognize accounts receivable; calculate net revenues using discounts, returns, and allowances; record an allowance for future uncollectible accounts; use the aging method to estimate future uncollectible accounts; apply the procedure to write off accounts receivable as uncollectible;…
Little-Bug Corp International publishes children’s books. Following are facts you need to prepare Little-Bug Corp’s August bank reconciliation:
Balance per company records at end of month $217,932.36
Bank service charge for the month 132.00
NSF check returned with bank statement 4,321.98
Note collected by the bank during the month 135,000.00
Outstanding checks at month end 94,660.71
Interest on note collected during the month 13,500.00
Balance per bank at end of month 432,671.97
Deposit in transit at month end 23,967.12...
Strong capital returns are not only apparent within new developments as Bennelong and the Cove
have also been analysed for their resale prowess. Bennelong was completed in 1999 and the Cove
was fi nished in 2003. Bennelong has recorded a total 164 apartment resales, with some apartments
changing hands up to three times. Five apartments transacted at a loss and one apartment was
resold at the same price. Eight sales have resulted in a capital gain in excess of 100%. One sale
achieved an outstanding 198% capital gain achieved between April 1999 and February 2008.