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Journalizing Transactions for Inventory

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Thelma's Amusements completed the following transactions during November 2012:

Nov 1 Purchased supplies for cash, $700.
4 Purchased inventory on credit terms of 3/10, n/eom, $9,600.
8 Returned half the inventory purchased on November 4. It was not the inventory ordered.
10 Sold goods for cash, $1,200 (cost, $700).
13 Sold inventory on credit terms of 2/15, n/45, $9,900 (cost, $5,300).
14 Paid the amount owed on account from November 4, less the return (November 8) and the discount.
17 Received defective inventory as a sales return from the November 13 sale, $600. Thelma's cost of the inventory received was $450.
18 Purchased inventory of $4,100 on account. Payment terms were 2/10, net 30.
26 Paid the net amount owed for the November 18 purchase.
28 Received cash in full settlement of the account from the customer who purchased inventory on November 13, less the return and the discount.
29 Purchased inventory for cash, $12,000, plus freight charges of $200.

Requirement

1. Journalize the transactions on the books of Thelma's Amusements.

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Solution Summary

The expert examines journalizing transactions for inventory.

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