On September 1, Howe Office Supply had an inventory of 30 calculators at a cost of $18 each.The company uses a perpetual inventory system. During September, the following transactions occurred.
Sept 6: Purchased 80 calculators at $20 each from DeVito Co. for cash.
Sept 9: Paid freight of $80 on calculators purchased from DeVito Co.
Sept 10: Returned 2 calculators to DeVito Co. for $42 credit (including freight) because they did not meet specifications.
Sept 12: Sold 26 calculators costing $21 (including freight) for $31 each to Mega Book Store,
Sept 14: Granted credit of $31 to Mega Book Store for the return of one calculator that was not ordered.
Sept 20: Sold 30 calculators costing $21 for $31 each to Barbara's Card Shop, terms n/30.
Instructions: Journalize the September transactions.
The easiest way to show you how to do journal entries is to show you how they should be written.
These would be the journal entries for your problem, and this is the format that they would follow:
9/6 Inventory (80*20) 1600
The solution provides the correct journal entries for the transactions listed for Howe Office Supply.