I need some help with the attached postings- Thanks
Please find attached, a formatted MS Excel file containing the information below. I have also included a notes section which may help to increase understanding of the material in this exercise.
Note for question 2:
Received payment from the following customers. The amount shown do not include any discount. You must determine if a discount is appropriate, and if so, how much. Madison Music Store awards partial discounts for payment on account. The sales Amount Colum indicates the "sales amount obligation discharged with the payment so a receivable. It does not refer to a specific sale. For example, if the column shows $100, the correct entry would be to debit cash for $105.00 and credit accounts receivable for $105 (assuming a sales tax at 5%)
Markup on all sales is 25%. For example, a retail price of ;> 100.00 means the wholesale price is $80.00 ($80.00x 1 .25 = ...
This post contains a formatted MS Excel spreadsheet that contains examples of revenue recognition.