2.
240 Chapter 5 Accounting for Merchandise Operations
May 6 Accounts Receivable—C. F. Howell Co. 2,800
Sales 2,800
6 Cost of Merchandise Sold 1,125
Merchandise Inventory 1,125
8 Office Supplies 150
Cash 150
10 Accounts Payable—Kramer Co. 1,300
Merchandise Inventory 1,300
13 Accounts Payable—Floyd Co. 4,120
Merchandise Inventory 80
Cash 4,040
[$4,000(2%$4,000)$120]
14 Merchandise Inventory 10,500
Cash 10,500
15 Accounts Payable—Kramer Co. 7,200
Merchandise Inventory 72
Cash 7,128
[($8,500$1,300)1%$72;
$8,500$1,300$72$7,128]
16 Cash 2,744
Sales Discounts 56
Accounts Receivable—C. F. Howell Co. 2,800
19 Accounts Receivable—American Express 2,450
Sales 2,450
19 Cost of Merchandise Sold 980
Merchandise Inventory 980
22 Accounts Receivable—Comer Co. 3,480
Sales 3,480
22 Cost of Merchandise Sold 1,400
Merchandise Inventory 1,400
24 Cash 4,350
Sales 4,350
24 Cost of Merchandise Sold 1,750
Merchandise Inventory 1,750
25 Sales Returns and Allowances 1,480
Accounts Receivable—Comer Co. 1,480
25 Merchandise Inventory 600
Cost of Merchandise Sold 600
31 Cash 2,310
Credit Card Expense 140
Accounts Receivable—American Express 2,450
May 31 Cost of Merchandise Sold 3,750
Merchandise Inventory 3,750