Ready-Set-Go distributes suitcases to retail stores and

extends credit terms of 1/10, n/30 to all of its

customers. At the end of∞ June, Ready-Set-Go’s
inventory consisted of suitcases costing £1,200. During
the month of July, the following merchandising
transactions occurred.

样…
July 1 Purchased suitcases on account for £1,620 from Trunk Manufacturers,
FOB destination, terms 2/10, n/30. The appropriate party also made a cash
payment of £100 for freight on this date.
3 Sold suitcases on account to Satchel World for £2,200. The cost of
suitcases sold was £1,400.
9 Paid Trunk Manufacturers in full.
12 Received payment in full from Satchel World.
17 Sold suitcases on account to Lady GoGo for £1,400. The cost of the

哄
suitcases sold was £1,030.
18 Purchased suitcases on account for £1,900 from Holiday Manufacturers,
逢 FOB shipping point, terms 1/10, n/30. The appropriate party also made a
cash payment of £125 for freight on this date.
20 Received £300 credit (including freight) for suitcases returned to Holiday
Manufacturers.
0
21 Received payment in full from Lady GoGo.
22 Sold suitcases on account to Vagabond for £2,400. The cost of suitcases
sold was £1,350.
0
30 Paid Holiday Manufacturers in full.
31 Granted Vagabond £200 credit for suitcases returned costing £120.
Instructions
Journalize the transactions for the month of July for
Ready-Set-Go using a perpetual inventory system.
一一
一一
 11 < 0 , W 130

July 1
Inventory n130]
⑩

^
i , 62
Aceounespayable

1
puchase 1620
Sold 3 Accounts Receivable 2 , 200

Sales Revenue 21200

Cost ofGoods sold 1 ,400

1 , 400
Inventory
Accounts Payable
Paid 9 1 620
.

Inventory Elψ 2o 2
2
+ 0 .

Cash 1 . 588
Reeivedl 2 Cash 2178
Sales Discounts 200 xo 22
1

E z
,
.

Accounts Receivable 1200

sold 7 Accounes Receivable 1 , 400
Sales Revenue 11400
Cost ot Goods Sold [ 030
,

Invenory 1 , 030
Purchase 18
Inventory 1 , 900
J

]
& Acounts Payable 1, 900
FoBshipping
Inventory ( 25

Cash 125

Accounes Payable

!
reenn 300
30
]
Inventory
Received 21 Cash 1. 386
Sales Discounts t 1 400 ,
x0 .
y ㄧ4

Accounts Receivable 1 , 400

Soldzz Accounts Receivable 21400

Sales Revenue 2
, 400

Costof Goods Sold 11350

11350
Inventory
paid 30 Aceouns Payable 11600
幽
cash 1 , 600
returm 31
Sales ReturnsandAllowances 200

o
Acounts Reervable
Inveneory ω

Cost of Goods sold ( 20