Question

Cullumber Company purchases various types of beach toys for sale to consumers. Listed below are the transactions for the month of June. Cullumber uses a perpetual inventory system.

June 1 Purchased 21 water tubes for $250 each terms n/30 FOB destination.
8 Returned 4 tubes purchased on June 1 due to defects. Received a full refund for the defective tubes.
10 Freight charges of $85 for the June 1 transaction are paid by the responsible party.
11 Made a complaint about competitive pricing. Received a $200 credit for the water tubes purchased on June 1.
15 Purchased 98 water tubes for $225 each on account, terms 2/10 n/30.
18 Made payment for the amount owing for the June 1 transaction.
20 Made payment for the amount owing for the June 15 transaction.

Answer 1

The subject of this question is Business, and it involves various transactions related to the purchase of beach toys by Cullumber Company.

Step-by-step explanation:

The subject of this question is Business. The question involves various transactions related to the purchase of beach toys by Cullumber Company. These transactions include purchases, returns, refunds, payments, and freight charges.

Examples of the transactions include:

1. On June 1, Cullumber purchased 21 water tubes for $250 each.
2. On June 8, Cullumber returned 4 defective tubes and received a full refund.
3. On June 10, Cullumber paid $85 for freight charges related to the June 1 transaction.